Often referred to as “the first fuel in the race for a sustainable energy future,” energy efficiency is a critical pillar in USAID’s support for the developing world. The Energy Efficiency for Clean Development Program (EECDP) is a cooperative agreement, formed in March 2011 between ICF and USAID, which provides tools and advises on replicable strategies for energy efficiency integration across countries and regions. Since inception, EECDP has:
EECDP is helping developing countries around the world stimulate economic growth, lower costs for consumers, and increase energy security and access.
The rapid growth of new construction and infrastructure development in emerging economies presents an opportunity for the implementation of energy efficiency on a massive scale. These opportunities are more limited in the developed world where growth rates are lower and the built environment is already established. By contrast, growth in developing countries provides an opportunity for efficiency to be integrated into buildings and other types of infrastructure at the onset of development. This prevents expensive energy consumption, and the need for costly retrofits in the future.
Energy efficiency stimulates economic growth by creating jobs and putting money into the pockets of consumers. Consumer costs are reduced through efficiency gains that lower energy consumption while preserving energy access and technology performance. Decreased demand for energy reduces a country’s reliance on imported fuel and other resources which enhances a country’s energy security. Through improved technologies, processes, and services, energy efficiency programs deliver the most cost effective solution to energy security, access, affordability, and reliability.
IRRP is a strategic energy planning approach that includes all aspects of the power grid, incorporates resilience to climate and other types of risk, and informs a long-term least-cost/”least-regrets” plan. ICF demonstrated this approach under the EECDP through two Associate Awards (see Tanzania and Ghana IRRP below) and provided presentations, trainings, and resources for USAID.
The Study demonstrates a strategic planning framework to identify the most effective market-specific investments for scaling up energy efficiency, and assess additional building blocks to improve market readiness for efficiency over time. The framework is implemented in close partnership with local stakeholders and utilizes a user-friendly tool and resources developed under this project and made available below. Results are available for the 7 locations across Latin America, Africa, Central Asia, and Southeast Asia where the Study took place.
To address widespread electricity load shedding and its economic impacts on the industrial sector, in particular, a benchmarking approach was used to identify opportunities for manufacturers to reduce energy demand. By comparing equipment and practices in plants to local best practices, specific technology and operational measures were identified to improve energy efficiency and reduce costs. The project also explored how measures can be bundled into attractive investments for banks and other financiers.
In 2013-2014, the EECDP conducted a dual work stream project in Tanzania to improve demand side resource planning for the energy sector.
As an immediate step toward addressing the capacity and energy shortages in Ghana, and resulting load-shedding practices, this project assessed the potential to lower peak electricity demand through time-of-use (TOU) tariffs. Focusing on industrial sector customers, responsible for the greatest share of peak load, data from smart meters was analyzed to identify peak load periods and develop a two-tier TOU tariff. This project was a first step toward a larger power sector strategic planning activity, developed under the Tanzania Integrated Resource and Resiliency Planning (IRRP) program Associate Award.
EECDP developed a replicable building performance benchmarking program through a pilot in Indonesia.
This project addressed the need for investment in DRC’s transmission and distribution infrastructure to improve energy access. An in-depth assessment focused on current and pending generation sources near four major population centers in southern DRC. The identified solutions are provided as individual project fact sheets that, with the report, can be used to prompt further analysis and ultimately attract project investment.