FIJI: Review of the Fiji National Energy Policy - Strategic Action Plan

Meta Data
Draft: 
No
Revision of previous policy?: 
No
Draft Year: 
2013
Effective Start Year: 
2013
Effective End Year: 
2020
Scope: 
National
Document Type: 
Plan/Strategy, Other
Economic Sector: 
Energy, Power
Energy Types: 
Power, Renewable, Geothermal, Hydropower, Solar, Wind, Other
Issued by: 
Submitted to GIZ Secretariat of the Pacific Community by: Economic Consulting Associates SMEC (New Zealand)
Source: 
Prdrse4All
File: 
Review of the Fiji National Energy Policy - Strategic Action Plan
Overall Summary: 
This Strategic Action Plan sets out the key actions for the period 2013 to 2020 that are required by different stakeholders to implement the new National Energy Policy 2013. The plan is applicable to all stakeholders in the energy sector, although most actions are led by the Department of Energy (DoE), as the public sector institution with primary responsibility for planning and policy development. The Strategic Action Plan will be reviewed and updated on a yearly basis. The Policy Areas that the Plan addresses are as follows: Policy area I. Governance and institutional arrangements; Policy area II. Grid-based power supply; Policy area III. Rural electrification; Policy area IV. Renewable energy; Policy area V. Transport; Policy area VI. Petroleum and biofuels; Policy area VII. Energy efficiency.
Access
Bi-, multi-lateral mechanisms to expand access: 
Prepare and consult on a review of existing funding mechanisms for rural electrification and design a new electrification fund, including a methodology to determine subsidy levels to different providers, that makes funding more transparent and easier to access by different stakeholders. By December 2015.---Establish the new electrification fund through regulations and implement it through the new rural electrification policy and electrification master plan. From December 2015 onwards.
Energy access action plan: 
Develop a national electrification master plan. Prepare and consult on a new rural electrification policy that incorporates the results of the review of off-grid electrification (including concessioning), FEA’s new electrification obligations, and the availability of an electrification fund. Prepare and consult on a new rural electrification policy that incorporates the results of the review of off-grid electrification (including concessioning), FEA’s new electrification obligations, and the availability of an electrification fund. By December 2014.---Prepare and consult on a comprehensive new national electrification master plan that shows how each un-electrified area of Fiji will be served in a least-cost manner, in a manner consistent with the rural electrification policy. By December 2015.---Implement the national electrification master plan. From December 2015 onwards.---FEA will be responsible for electrification by grid extension by December 2014.---Improve the effectiveness and sustainability of the existing management models for off-grid rural electrification - Incorporate the results of the reviews into the new rural electrification policy. By December 2014.---Establish a framework for encouraging off-grid rural electrification projects by of non-government providers.---Upscale the pilot programmes to blend coconut oil with diesel in remote areas, using private contractors where possible. From June 2014 onwards.
Energy access targets: 
Percentage of population with electricity access = 100% by 2020.---Percentage of rural households with access to electricity = 100% by 2020.---Percentage of rural households with access to modern fuels = 81% by 2020.
Consumer subsidies: 
Prepare and consult on a review of existing funding mechanisms for rural electrification and design a new electrification fund, including a methodology to determine subsidy levels to different providers, that makes funding more transparent and easier to access by different stakeholders. By December 2015.
Efficiency
EE targets: 
Energy intensity (power consumption per unit of GDP in kWh/FJD) = 0.215 by 2020.---Percentage of fuel efficient vehicles as a % of total vehicles on the road = 5% by 2020.---Energy intensity (fuel consumption per unit of GDP in MJ/FJD) = 2.86 by 2020.
EE action plans: 
Support voluntary actions of businesses, industry and private users.---Ensure DoT’s new transport policies adequately address the promotion of public transport. By June 2014.---Encourage town planning and work with local councils to encourage consideration of energy aspects in town planning. Prepare and consult on guidelines for energy efficient urban planning (or similar) as envisaged in the new transport policies. By December 2016.---Promote energy efficiency in the public sector
EE standards for appliances: 
Expand energy labelling programme to apply to identified appliances and equipment, using by Australia and New Zealand as appropriate. By December 2016.---Apply minimum energy efficiency standards to identified appliances and equipment by publishing new regulations. By December 2016.
EE lighting and mechanical system standards: 
Prepare and consult on a review the codes and standards for buildings and industry, including minimum standards for energy use for ventilation, cooling, and lighting. By June 2017.
EE labeling: 
Prepare and consult on a feasibility study on labelling for vehicle fuel economy of imported land transport vehicles, vessels, and outboard engines. By December 2015.---Implement new labelling program (if considered viable) By June 2016.
EE industry standards: 
Update the codes and standards for buildings and industry
EE building standards: 
Update the codes and standards for buildings and industry. Implement the results of the review through a new building code. By December 2017.
EE transport standards : 
Percentage of fuel efficient vehicles as a % of total vehicles on the road = 5% by 2020.---Prepare and consult on a feasibility study on labelling for vehicle fuel economy of imported land transport vehicles, vessels, and outboard engines. By December 2015.---Implement new labelling program (if considered viable) By June 2016.---Prepare and consult on a review of second hand vehicle and vessel age limits and import tax incentives. By December 2016.---Implement any changes to vehicle/vessel age limits and tax incentives through new regulations as appropriate. By June 2017.---Investigate the potential and cost-effectiveness of energy efficiency solutions for sea vessels. 2015/2016.---Support the development and implementation of the Department of Transport’s land and marine transport policies that encourage a shift towards more energy efficient forms of land and sea transport.---Prepare and consult on a study investigating the feasibility of implementing mandatory fuel efficiency standards in Fiji By December 2016.---Implement fuel efficiency standards (if considered viable) through new regulations as appropriate. By December 2017.---Ensure DoT’s new transport policies adequately address the promotion of public transport. By June 2014.
Energy Service Companies (ESCOs): 
Prepare and consult on a review of suitable public sector demonstration projects and the feasibility of creating an Energy Service Company (ESCO) to undertake them (under an arrangement where energy savings are shared between project and ESCO). By December 2016.---Secure funding for and undertake public sector energy efficiency demonstration projects and setup an ESCO (if applicable) By December 2018.
EE financial incentives: 
Monitor and improve the existing customs and tax incentives that are in place to encourage the use of energy efficient appliances and equipment.
EE public awareness/promotional programmes: 
Launch information campaigns to encourage efficient driving. By December 2014. Launch an efficient driver training programme, possibly incorporating into existing defensive driving courses. By June 2015.---Continue to increase public education and awareness. Use results of analysis to launch targeted information campaigns to households and businesses on the range of energy saving technologies and options available. By December 2015.
Cooperation in EE: 
Expand energy labelling programme to apply to identified appliances and equipment, using by Australia and New Zealand as appropriate. By December 2016.---Support voluntary efforts by the business community to improve energy efficiency. 2015/2016.
Renewable Energy
RE priorities: 
Promote the use of renewable energy resources for both grid-connected and off-grid electricity supply.
RE targets: 
Percentage of grid-based electricity generation from renewables = 81% by 2020.---Renewable energy share in total energy consumption = 18% by 2020.
RE action plans: 
Procure and achieve financial close of a new renewable energy IPP, applying new process, PPA principles, and grid code (if published) - By December 2018.---Begin a comprehensive renewable energy resources mapping exercise, including monitoring wind speeds, solar radiation, and hydro flows. By December 2015.---Identify most promising undeveloped wind, solar, hydro, and geothermal renewable sites. By December 2015.---Promote and improve guidelines and technical standards for renewable energy technologies 2016/2017.
RE prioritization, portfolio standards: 
Percentage of biofuel consumption in total liquid fuel supply = 1.11% by 2020.---Upscale the pilot programmes to blend coconut oil with diesel in remote areas, using private contractors where possible. From June 2014 onwards.---Keep fuel standards up-to-date and ensure that they are adhered to.---Continue to apply national biodiesel and ethanol fuel standards.
RE feed-in tariffs: 
Prepare and consult on a review of mechanisms for incentivising investment in small-scale generation, including feed-in tariffs. By June 2017.---Implement recommended mechanism, including new feed-in tariffs and caps on installed feed-in tariff capacity if applicable, through new regulation as appropriate. By December 2017.
Net metering: 
Increase private sector investment in small-scale grid-connected renewable generation.---Prepare and consult on a review of approaches to net metering, including standard connection procedures and net-metering tariffs. By June 2017.---Implement recommended net-metering mechanism through new regulation as appropriate. By December 2017.
RE reductions in taxes: 
Prepare review of the existing tax incentives that are in place for investments in renewable energy technologies. By December 2016.---Implement recommendations from review of tax incentives. By February 2017.
Cooperation in RE: 
Work with industry associations, civil society, non-Governmental organisations and communities to identify and remove regulatory and socio-economic barriers. Hold interviews with key stakeholders on the barriers to the uptake of renewables in Fiji. By December 2016. Implement recommendations to remove barriers. From June 2017 onwards.
Environment
Pollution control action plans: 
Launch information campaigns to encourage efficient driving. By December 2014. Launch an efficient driver training programme, possibly incorporating into existing defensive driving courses. By June 2015.---Encourage the use of relatively environmentally friendly petroleum products. Prepare and consult on a study examining taxation on petroleum products relative to this environmental impact. By December 2014.
Decarbonization strategy: 
Promote cycling and establishment of cycle-paths in urban areas.---Encourage town planning and work with local councils to encourage consideration of energy aspects in town planning.
Pricing
Renewable energy subsidies: 
Prepare review of the existing tax incentives that are in place for investments in renewable energy technologies. By December 2016.---Implement recommendations from review of tax incentives. By February 2017.
Energy pricing: 
Draft and consult on a new multi-year regulatory contract for determining retail electricity tariffs. By December 2015.---Implement new multi-year regulatory contract for determining retail electricity tariffs, including conducting the first multi-year tariff review. By December 2016.---Reduce the cost of imported petroleum products. Amend pricing template based on recommendations of review. By June 2016.
Trade
Energy trade priorities: 
Reduce the cost of imported petroleum products. Amend pricing template based on recommendations of review. By June 2016.---Improve the transparency of petroleum supply.
Standard power production and purchasing agreements: 
Prepare and consult on a set of principles to be applied in all power purchase agreements by 2016.---Implement the recommended procurement process and PPA principles for large-scale IPPs - By December 2016.
Import taxes and fee exemptions: 
Prepare and consult on a review of second hand vehicle and vessel age limits and import tax incentives. By December 2016.---Prepare and consult on a review of energy efficient appliance and equipment import tax incentives. By December 2016.---Implement any changes to tax incentives through new regulations as appropriate. By June 2016.
Investment
Financial incentives for energy infrastructure: 
Prepare and consult on a review of existing funding mechanisms for rural electrification and design a new electrification fund, including a methodology to determine subsidy levels to different providers, that makes funding more transparent and easier to access by different stakeholders. By December 2015.---Establish the new electrification fund through regulations and implement it through the new rural electrification policy and electrification master plan. From December 2015 onwards.
Independent power producers: 
Draft amendments to Electricity Act to strengthen DoE’s legal powers with respect to sector planning (including master plans and IPP frameworks) and presented to cabinet - by Dec. 2014.---Percentage of electricity generated by privately owned independent power producers = 23% by 2020.---Prepare and consult on a review international approaches to competitive procurement from large-scale IPPs and recommend an appropriate process for Fiji - by June 2016.---Implement the recommended procurement process and PPA principles for large-scale IPPs - By December 2016.---Procure and achieve financial close of a new renewable energy IPP, applying new process, PPA principles, and grid code (if published) - By December 2018.---Increase private sector investment in small-scale grid-connected renewable generation.---On completion of drilling programme, and if viable sites found, launch procurement process to contract out a pilot geothermal generator as IPP. By December 2018.
Investment climate development: 
Increase private sector investment in small-scale grid-connected renewable generation
Public Private Partnerships: 
Increase private sector investment in large-scale electricity generation.---Prepare and consult on a set of principles to be applied in all power purchase agreements by 2016.---Increase private sector investment in small-scale grid-connected renewable generation.---Establish a framework for encouraging off-grid rural electrification projects by of non-government providers.
Bidding and Tendering: 
Implement the recommended procurement process and PPA principles for large-scale IPPs - By December 2016.---Establish a framework for encouraging off-grid rural electrification projects by of non-government providers.---Prepare and consult on a review of the feasibility of tendering concessions for the electrification of off-grid communities to non-government providers. By June 2014.---If considered feasible, develop standard concession agreements and tendering procedures. By December 2015.---Tender a first new concession for an off-grid electrification project to a non-government provider. By December 2017.
Governance
Energy management principles: 
Improve coordination and direction.---Improve stakeholder consultation: a. Establish a National Energy Consultative Forum (NECF) and hold its first meeting by 2015.---Commerce Commission and DoE to cooperate on energy sector regulation by 2015 ongoing.---d. Develop a grid code that regulates the technical aspects relating to connections to, and the operation and use of, the transmission system. By December 2018.---Strengthen transparency and effectiveness of the regulation of the electricity industry.---Improve the efficiency and effectiveness of management of the electricity grid.---Draft and consult on a new process for updating and publishing power development and asset management plans. By June 2017.---FEA will be responsible for electrification by grid extension by December 2014.---Prepare and maintain contingency plans for fuel supply.
National policy structure: 
Draft amendments to Electricity Act to strengthen DoE’s planning powers 2014.---Enact amendments to the Electricity ActI 2015.---Ensure results of renewables research and inventory are considered in other regulations and policy (including the rural electrification policy, feed-in tariff mechanism, and net metering policy) From December 2014 onwards.
Energy institutional structures: 
Draft amendments to Electricity Act to strengthen DoE’s planning powers 2014.---Conduct institutional review of DoE 2014/2015.---Implement institutional restructuring 2016.
M&E of policy implementation: 
Prepare and consult on an updated legislative gap analysis report by 2018.---Implement recommendations of the updated legislative gap analysis by 2018.---Implement systems and processes recommended in review by 2015.---Improve reporting, monitoring, and evaluation - ongoing from 2014.---Establish a framework for collecting information on off-grid electrification projects and monitoring their performance. By December 2015.---Implement monitoring framework of off-grid electrification projects and incorporate into energy information system. From December 2015 onwards.
Statistics collection and management: 
Undertake a comprehensive review of energy data in Fiji by 2015.---Collect energy data - ongoing 2016.---Establish a national energy information system by 2015.---Implement monitoring framework of off-grid electrification projects and incorporate into energy information system. From December 2015 onwards.---Begin a comprehensive renewable energy resources mapping exercise, including monitoring wind speeds, solar radiation, and hydro flows. By December 2015.---Collect data on fuel, including imports, re-exports, consumption, and pricing, and enter into the national energy information system. From June 2016 onwards.---Collect data on energy consumption, including import of appliances, equipment, and vehicles, and data on household and business electricity load profiles and integrated into national energy information system. From January 2013 onwards.
Public database availability: 
Establish a national energy information system by 2015.---Make the national energy information system accessible to the public - ongoing from 2016.---Publish the first renewables inventory, including all background information, and make it downloadable on DoE’s website and present at NECF. By December 2016.---Publish the updated renewables inventory on annual basis. From December 2016 onwards.
Technology
Clean energy technology priorities: 
Conduct feasibility study on the potential use of smart grid technology in Fiji. By December 2018.---Research and promote new renewable energy technologies.---Prepare and consult on a research (at least every two years) summarising international developments relating to new renewable energy technologies and their applicability in Fiji 2016 onwards.---Conduct further investigations into geothermal energy resources as a matter of priority - 2015/2017.---Promote and improve guidelines and technical standards for renewable energy technologies 2016/2017.---Continue research to explore the potential for increased production and use of biofuels.
R&D renewable energy: 
Prepare and consult on a feasibility study of widespread biodiesel production from coconut oil and blends, updating existing studies where relevant. By December 2016.