APERC President Report

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1 2012/EWG43/003 Agenda tem: 2b APERC President Report Purpose: nformation Submitted by: APERC 43 rd Energy Working Group Meeting Kuala Lumpur, Malaysia 8-10 March 2012

2 ASA PACFC ENERGY RESEARCH CENTRE (APERC) REPORT ON APERC ACTVTES THE 43RD MEETNG OF THE APEC ENERGY WORKNG GROUP (EWG-43) KUALA LUMPUL, MALAYSA 8-9 MARCH 2012 /V'.A.iV'V'.iV'V'.iV'V'~~VVV'VVV'VVV'VVV'.~..-vvv~vv.. PAGE 1

3 CONTENTS Page PROGRESS N ON-GONG WORK 3 T NEW WORK PLAN 8 ill APERC RESEARCHERS 10 V ADMNSTRATON 11 PAGE 2

4 PROGRESS N ON-GONG WORK A. APEC PEER REVlEW ON ENERGY EFFClENCY (PREE) The improvement of energy efficiency offers many cost-effective opporturuttes to achieve energy security, improve business productivity and mitigate greenhouse gas emissions. n the Sydney Declaration of September 2007, APEC Leaders agreed to start a peer review of energy efficiency policies through the voluntary APEC Energy Peer Review Mechanism. At the EWG 35 meeting (quitos, March 2008), the APEC Peer Review on Energy Efficiency (PREE) was proposed by Japan as a concrete program and endolsed by EWG members. Two activities are undertaken as part of the PREE, namely: (1) Peer Review of volunteer member economies on the progress towards their goals in energy efficiency improvement ("Peer Review of volunteer member economies") (2) Compendium of energy efficiency policies/measures and action plans of APEC member economies under a common format ("Compendium") (1) PEER REVEW The objectives of APEC PREE are to; OBJECTVES Share information on Energy Efficiency performance as well as policies and measures for improving energy efficiency among member economies, Provide opportunities for learning from other member economies' experiences and for broadening the network among energy efficiency policy experts, Explore how Energy Efficiency overall/sectoral goals and action plans could be effectively formulated in each APEC economy under review, taking into account the diversity of possible strategies to be used, Monitor progress toward attaining Energy Efficiency goals on an overall and/or sectoral basis and implementing action plans, Provide recommendations on how implementation of action plans could be improved with a view to achieving energy efficiency goals. PROGRESS Guidelines for the Peer Review were endorsed by EWG in late The inaugural Peer Review for New Zealand was carried out during the period of February 2009, with a review team comprised of experts from member economies and from APERC. This was followed by Peer Review for Chile during the period of March The draft Review Report of PREE for New Zealand and Chile were discussed and endorsed by E WG members at the EWG37 meeting in Santiago in April The third Peer Review for Vietoam was conducted on 8-12 June The draft Review Report of PREE for Vietnam was discussed and endorsed by EWG membcls at the EWG38 meeting in Bali in November ~~~AA~~VVVV~~~~~VVVVV~JVVV~~AA~~VVVVVV~~~~~ P A GE 3

5 The fourth Peer Review for Thailand was carried out on 9-13 November The draft Review Report of PREE for Thailand was discussed and endorsed by EWG members at the EWG39 meeting in Tokyo in March Tpe fifth Peer Review for Chinese Taipei was carried out on August The draft Review Report of PREE for Chinese Taipei was discussed and endorsed by EWG members at the EWG40 meeting in Brunei-Darussalam in November The sixth Peer Review for Peru was carried out on 8-12 November The seventh Peer Review for Malaysia was carried out on 26 November-3 December The Draft Peer Review Report for PREE in Peru was discussed and endorsed by EWG members at EWG41. The Draft Peer Review Report for PREE in Malaysia was discussed and endorsed by EWG members at EWG41 for its discussion and endorsement MLESTONE The review team visit for the eighth PREE in ndonesia was carried out on October The Draft Report on PREE in ndonesia was submitted to EWG members for their discussion and hopeful endorsement at EWG 43 meeting. The review team visit for the ninth PREE in the Philippines was carried out on 6-10 February The Draft: Report on PREE in the Philippines will be prepared for EWG members discussion at EWG 44 meeting. The first Follow-up PREE activity (Training workshop on analytical methods to monitor the effectiveness of implementing energy efficiency measures) has just been carried out in Viet Nam on 27 February-2 March in The Summary Report will be prepared by the end of March (2) COMPENDUM OBJECTVES The objective of the Compendium is to serve as a basis for information sharing on energy efficiency policies and measures, reflecting th e diversity of approaches that could be adopted By member economies. PROGRESS APERC presented the draft common format for the Compendium at the APERC workshop and EWG 36 in Manila in December 2008 where it was discussed and endorsed APERC published the 2009 Compendium ofenc1jj Efficienry Policies of APEC Economics on the APERC website in April APERC published the 2010 Compendium of Energy Efficiency Policies of APEC Economies on APERC website in August n October 2011, APERC requested EWG members to provide APERC with updated information for the third edition of Compendium (2011 Compendium) by 10 January MLESTONE While APERC appreciates that some EWG members provided APERC with updated relevant information of the development on energy efficiency policies in timely manner, APERC is now requesting other EWG members to provide APERC with updated relevant information. PAGE 4

6 As soon as APERC receives updated relevant infonnation from all EWG members, APERC will aim at publishing the 2011 Compendium on APERC website in timely manner. B. APEC COOPERATVE ENERGY EFFCENCY DESGN FOR SUSTANABLTY (CEEDS) At the 8 th Meeting of APEC Energy Ministers in Darwin, Australia in May 2007, APEC Energy Ministers encouraged APEC economies to individually set goals and formulate action plans for improving energy efficiency on an overall and/or sector basis. Ministers also directed the EWG to compile best practices that can be used to help formulate and track progress towards such voluntary goals and action plans. At the EWG 37 meeting in Chile, April 2009, the CEEDS project was proposed by Japan and endorsed by EWG members. While PREE considers the whole range of energy efficiency policies and measures foe one economy at a time, CEEDS considers specific high performance energy efficiency policies and measures for several economies in one sector at a time. Both PREE and CEEDS are designed to be multi-year activities, with PREE examining a continuing sequence of volunteer APEC economies, while CEEDS focuses on a continuing sequence of sectors. OBJECTVES APEC CEEDS aims at promoting "high-performance" energy efficiency policy measures in economies in the APEC region. The key objectives are: To indentify and share information on "high-performance" energy efficiency policy measures in a selected sector To estimate the energy saving potential of the "high-performance" energy efficiency measures in a selected sector in participating APEC economies To assist participating economies in designing and implementing "high-performance" energy efficiency policy measures in a specified sector To achieve the above objectives, two activities are undertaken, namely; 1) Analysis on energy saving potential in participating economies if high performance measures were implemented in the related sectors; 2) A set of two workshops organized with the support of host economies for the purpose of assisting participating economics who wish to design and implement measures for achieving energy efficiency improvements in the selected sectors. As a workshop organizer, APERC is responsible for selecting measures to be discussed based on the interests in various APEC economies, making the workshop program, inviting APEC delegates to participate, and producing a swnmary report with experts' suggestions on how measures might be implemented effectively in the participating economies. APERC will also carry out a study on energy saving potentials for a selected sector in participating economies, which will be presented. at the workshop. CEEDS Phase 1 PROGRESS The 1st CEEDS Phase 1 Workshop, hosted by Chinese Taipei, was held on 19,20 and 21 October 2009, in which delegates from six economies, Chile, China, Malaysia, The PAGE 5

7 Philippines, Thailand and Viet Nam participated. At the 1 st workshop, delegates from participating economies worked togethe.c with e."perts (ASE, CLASP, feej and LBNL) and APERC researchers to develop proposals on "Next Steps" for advancing "Appliance Energy Efficiency Standards and Labelling" programs in their economies. The 2nd CEEDS Phase 1 Workshop, hosted by Japan, was held on 1 and 2 March The refined proposals for "Next Steps", which had undergone consultation with the delegates' colleagues in their home economy, were presented by the delegates. CEEDS Phase 2 The 1 st CEEDS Phase 2 Workshop, hosted by Thailand, was held on 8-10 September 2010, in which delegates from 5 economies, China, ndonesia, Malaysia, Mexico and Viet Nam participated At the 1 st workshop, delegates from participating economies worked together with experts and APERC researchers to develop proposals on "Next Steps" for advancing ''Building Energy Codes and Labelling" programs in their economies. The 2 nd CEEDS Phase 2 Workshop, hosted by Hong Kong, China was held on January The refined proposals for "Next Steps", which had undergone consultation with the delegates' colleagues in their home economy, were presented by the delegates. CEEDS Phase 3 The 1 st CEEDS Phase 3 Workshop, hosted by the United States was held on September 2011, in which delegates from 5 economies, China, Mexico, the Philippines, Thailand and Viet Nam participated. At the 1st workshop, delegates from participating economies worked together with experts and APERC researchers to develop proposals on "Next Steps" for advancing "Energy Efficient Urban Passenger Transportation" programs in their economies. The 2nd CEEDS Phase 3 Workshop, hosted by Singapore was held on January 2012, in which delegates from 5 economies, China, ndonesia, the Philippines, Thailand and Viet Nam participated. At the 2nd Workshop, delegates from participating economies worked together with experts and APERC researchers to develop proposals on "Next Steps" for advancing "Energy Efficient Urban Passenger Transportation" programs in their econonues. MLESTONE The Summary Report on CEEDS Phase 3 is expected to be published on APERC website by the end of l'vfarch. C. PHASE 1 PEER REVEW ON LOW-CARBON ENERGES (PRLCE) n their Fukui Declaration in June 2010 on "Low-Carbon Paths to Energy Security: Cooperative Energy Solutions for a Sustainable APEC", the APEC Energy Ministers instructed the EWG to "explore mechanisms to encourage economies to set individual goals and action plans for introducing low-emission power sources, building upon the success of the PREE, with assistance from APERC and relevant technology expert groups" Modelled on the successful Peer Review of Energy Efficiency, PRLCE is planned to assist volunteered economies in developing policies that support energy security and environmental protection through promoting low-carbon energy supply (e.g. renewable energies). PAGE 6

8 PROGRESS Guideline for PRLCE was endorsed by EWG members in August MLESTONE n Phase 1, the first PRLCE with focus on renewable energy is expected to be held in Thailand on May Additional economies are invited to positively consider to host the future PRLCEs. D. APEC ENERGY OVERVEW 2011 At the EGEDA 11 th meeting held in March 2000, dle project "APEC Energy Overview" was proposed by Australia, and it was approved at the EWG19 meeting in Ap.cil2000. The APEC Energy Overview is an annu'.l publication. which contains updated energy demand/supply data as well as descriptions of energy policy and notable energy developments including energy efficiency, infrastructure development, upstream development, energy source diversification, regulatory reform and environment protection. Energy demand/suw1y data will be drawn from the APEC Energy Database. APERC is responsible for coordinating informatioo gathered from member economies and preparing a draft Overoiew for EGEDA review. The finalized O/li/rvil!1/1 will be published by APEC. The Overoiew is published on both the APEC and APERC websites. Since the inaugural issue in 2001, ten editions have been issued. OBJECTVE The objective of APEC Energy Overoiew is to share information on government energy policies of member economies, and to provide useful information and insights to policy makers in the region. MLESTONE APERC has been gathering relevant information for APEC Energy overoiew APERC has finalized the drafts for most of APEC economies, appreciating EGEDA members' comments in their peer review. APERC is circulating the chapters for several economies of APEC Energy Overview 2011 to the relevant member economies for their peer review. APERC will aim at publish it on the website in early E. APEC ENERGY DEMAND AND SUPPLY OUTLOOK 5 TH EDTON APERC bas produced four APEC Ele1gy Demand alld SupplY Outlooks, and the APEC E1e1;gy Demolld (Jlt! SupplY OJltlook 51b Editio1/ is currently under development. The Outlook will provide a long term ( ) perspective on APEC energy demand and supply. Like dle Oil/look 4 th Edition, it will consist of two volumes. Volume 1 will discuss the APEC- wide situation sector by sector. Volume 2 will have sections discussing each APEC economy. PAGE 7

9 OBJECTVES The key objectives of the APEC Energy Demand and Suppjy Outlook are to help facilitate ApEC cooperation by providing policymakers with A useful reference work on energy in the APEC region A statistically-supported review of the challenges and opportunities facing the APEC economies individually and as a region A source of ideas and approaches for dealing with these energy challenges and capitalizing on the energy opportunities PROGRESS Entirely new modelling software has been developed, including new models for transport demand, industrial demand, residential/ commercial/ agricultural demand, electricity supply, and summary tables. Necessary data and assumptions have been loaded into the models and preliminary business-as-usual projections have been estimated for all economies. A thorough internal review of the business-as-usual projections for each economy is now underway. Software to summarize and graph key results by economy, by region, and APEC-wide has been developed APERC researchers are currently writing the Volume 2 sections, which discuss the results for each economy. MLESTONES Alternative cases to business-as-usual will be developed over the next few months and included in the Outlook. Writing of Volume 1 and the remaining writing of Volume 2 are expected to be completed in timely manner. Peer reviews of the results for each economy will be invited through APEC EGEDA representatives late this year. The complete Outlook is expected to be published by the end of the year. PAGE 8

10 T NEW WORKPLAN APERC, as the designated executants, supports Project Overseer to carry out of the following four APEC projects. A. Phase 4 PREE, Phase 4 CEEDS and Phase 2 PRLCE n their Fukui Declaration in June 2010 on "Low-Carbon Paths to Energy Security: Cooperative Energy Solutions for t Sustainable APEC", the APEC Energy Ministers instructed the EWG and APERC "to keep promoting energy cfficiency through the Pcer Review on Energy Efficiency (FREE) and the Cooperative Energy Efficiency Design for Sustainability (CEEDS), and to consider follow-up efforts including capacity building activities, policy research support and processes to gauge the success of member economies' efforts to implement the recommendations of these programs". At the same time, the Ministers also instructed the EWG to "explore mechanisms to encourage economies to set individual goals and action plans for introducing low-emission power sources, building upon the success of the PREE, with assistance from APERC and relevant technology expert groups". APERC's new work plan is designed to assist EWG in responding to these instructions. 1. Phase 4 PREE ea) Continuation ofpree WORKPLAN As PREE is a multi-year project, the 10 d Peer Review on Energy Efficiency in volunteer member economy is planned to be ronducted in early (b) Follow-Up PREE Based on the APEC Energy Ministers' instructions, the second Follow-up PREE activity is planned to be carried out in late 2012-early t will aim to assist the previous host economy in implementing the recommendations of the previous PREE. Thailand is interested in hosting the second Follow-up PREE. 2. Phase 4 CEEDS CEEDS is also a multi-year project in several phases, the CEEDS Phase 40 n "Policies to Promote Energy Service Companies (ESCO)") is planned to be carried out in Phase 2 Peer Review on Low-Carbon Energies (prlce). Phase 2 PRLCE is planned to assist additional economies in developing policies that support energy security and environmental protection through promoting low-carbon energy supply (e.g. renewable energy). Modelled on the successful Peer Review of Energy Efficiency and Phase 1 PRLCE, Phase 2 PRLCE is planned to assist volunteered economies in developing policies that support energy security and environmental protection through promoting low-carbon energy supply. PAGE 9

11 B. Phase 2 APEC Low Carbon Model Town (LCMT) project n their Fukui Declaration in June 2010 on "Low-Carbon Paths to Energy Security: Cooperative Energy Solutions for a Sustainable APEC", the APEC Energy Ministers mentioned, "ntroduction of low-carbon technologies in city planning to boost energy efficiency and reduce fossil energy use is vital to manage rapidly growing consumption in urban areas. We have therefore launched an APEC Low-Carbon Model Town Project to present successful model for coordinated usage of advanced low-carbon technologies." n Phase 1 LCMT project, the "Feasibility Study" and "Policy Review" were carried out for the LCMT development plan in Yujiapu, Tianjin, China. n Phase 2 LCMT project, the "Feasibility Study" and ''Policy Review" will be carried out for the LCMT development plan in Samui sland, Thailand in WORKPLAN Feasibility Studies and Policy Reviews will be conducted for the additional - low-carbon development projects. PAG E 10

12 ill APERC RESEARCHERS A. Visiting Researchen; APERC researchers are generally drawn from energy research organisations, both government and non-government, in member economies. The minimum term of researchen;' supported by APERC's budget is one year, which may be extended subject to consultations with the relevant organisations ill APEC member economies. B. Short-Term Visiting Researchers There have been several cases of short-term researchers. Mr. Daniel Colombo from February to May 2010, whose visit was generously supported by the U.S. Department of Energy. Ms. Nontaphom Udomwadhanaphorn from February to July 2011, whose visit was generously supported by the Petroleum nstitute of Thailand. Dr. Charothon UNG-JNDA from September 2011 to March 2012, whose visit was generously supported by the Petroleum nstitute of Thailand. APERC would like to invite other economies to support a visit by their researchers to APERC. n return, APERC can offer housing in Tokyo, transportation, and a multi-cultural energy research experience for the researcher. As of 8 March 2012, APERC has a total of 11 researchers. Table 1: APERe Researchers Name. Kenji Kobayashi (President) Ralph D. Samuelson (Vice President) Tran Thanh Lien (Team Leader) Bing-Chwen Yang (Team Leader) Goichi Komori, Elvira T. Gelindon Gayathiri Bragatheswaran Luke H. Leaver --- Dmitry Sokolov Juan Roberto Lozano Maya Aishah Binti Mohd. sa i PAGE 11

13 N ADMNSTRATON APERC REVENUE AND EXPENSES Since its inception, APERC's budget has been provided by the Japanese government and pardy in fiscal 2004, 2005 & 2006 by the Australian government. This budget has been used to facilitate research acttvlues, know-how transfer programmes to the member governments, and the energy data netwolk service. The table below is a summary of annual financial statements since APERC was created in July Table 2: APERe Revenues and Expenses Unil;,tiUiOll J'lR r':iscal Year rnn., (plan) Rf:v e-nuc: from: Japanese Government i Australian Goverrunent : : TotAl of Revenue ; «0 «, ~ '!' --~" Experue.: Energy Efficiency APEC Energy n Demand & Supply Outlook, Related Research Programmes, Know~How Transfer Programmes 54 6S 6S Energy Data Network Service Total of Expenses ; PAGE 12

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