NATIONAL ENERGY EFFICIENCY & CONSERVATION

POLICY, STRATEGY AND ROADMAP

FOR MYANMAR

 TECHNICAL ASSISTANCE BY ASIAN DEVELOPMENT BANK

TA 8356-MYA:

INSTITUTIONAL STRENGHTENING OF NATIONAL ENERGY

MANAGEMENT COMMITTEE IN ENERGY POLICY AND PLANNING

2015

TABLE OF CONTENTS

Executive Summary 

1  INTRODUCTION............................................................................................... 1 

1.1  Report Structure.......................................................................................... 1 

2  ENERGY EFFICIENCYACTIVITIES IN MYANMAR........................................................ 2 

2.1 Introduction................................................................................................. 2 

2.2 Current Energy Situation in Myanmar................................................................ 2 

2.2.1  Summary of Energy Situation......................................................................................................... 2 

2.2.2  Energy Supply and Consumption Characteristics.............................................................................. 4 

2.2.3  Electricity Supply and Consumption................................................................................................. 5 

2.2.4 Electricity Demand Profile and Forecast............................................................................................ 7 

2.3 Past and Current Energy Efficiency Activities....................................................... 8 

2.3.1 Past Energy Efficiency Initiatives and Outcomes............................................................................... 8 

2.3.2 Energy Efficiency and Conservation Activities of the Ministry of Industry............................................ 9 

2.3.3 Planned Energy Efficiency Initiatives............................................................................................. 10 

3  ENERGY EFFICIENCY POTENTIAL........................................................................ 11 

3.1  Introduction............................................................................................... 11 

3.2  Industrial Sector – EE Best Practices and Technologies....................................... 12 

3.2.1  Pulp and Paper Industry............................................................................................................... 12 

3.2.2  Iron and Steel Industry................................................................................................................ 17 

3.2.3  Cement Industry.......................................................................................................................... 18 

3.2.4  Textile and Garment Industry....................................................................................................... 21 

3.2.5  Sugar Industry............................................................................................................................. 23 

3.2.6  Rice Milling Industry..................................................................................................................... 25 

3.2.7  Ceramic and Brick Industry........................................................................................................... 27 

3.2.8 Thermal Power Plants................................................................................................................... 30 

3.2.9 Summary of Potential Energy Savings in Industrial Sector............................................................... 33 

3.3 Commercial Sector Assessment...................................................................... 34 

3.4  Residential Sector Assessment....................................................................... 34 

3.5  Public Sector Assessment............................................................................. 36 

3.6 Barriers to Energy Efficiency Implementation.................................................... 36 

3.7 Energy Saving Targets.................................................................................. 37 

3.7.1  Data Limitations........................................................................................................................... 37 

3.7.2  Approach..................................................................................................................................... 37 

3.7.3  Energy (Electricity) Saving Potential by Sector............................................................................... 38 

3.7.4  Potential Biomass Savings............................................................................................................. 39 

3.7.5  Calculation of EE Policy Target...................................................................................................... 39 

4PROPOSED ENERGY EFFICIENCY POLICY............................................................... 41 

4.1 Current Energy Efficiency Related Policies......................................................... 41 

4.1.1  National Energy Policy.................................................................................................................. 41 

4.1.2  Other Related Policies................................................................................................................... 42 

4.2  Proposed Work Program for EE&C under the Energy Policy................................. 43 

4.2.1 Required Legal and Regulatory Frameworks to Support EE&C......................................................... 43 

4.2.2 Dedicated Department of EE&C Implementation............................................................................. 43 

4.2.3 Capacity Building and Awareness Programs.................................................................................... 43 

4.3 Vision Statement......................................................................................... 43 

4.3.1  Core Values of Energy Efficiency................................................................................................... 44 

4.4  Goals and Objectives................................................................................... 45 

4.4.1 National Energy Saving Potential.................................................................................................... 45 

4.4.2 Overall Policy Goal for Energy Efficiency......................................................................................... 45 

4.5 Strategic Objectives..................................................................................... 46 

4.6  Monitoring and Evaluation............................................................................ 46 

5  PROPOSED ENERGYEFFICIENCY ROADMAP........................................................... 47 

5.1  Background............................................................................................... 47 

5.2  Proposed Activities by Sector......................................................................... 47 

5.3  Common Activities...................................................................................... 50 

5.4  Capacity Building of EECD............................................................................. 53 

5.5 Implementation Roadmap............................................................................. 54 

5.6 Proposed Myanmar National EE Roadmap......................................................... 55 

5.6.1  Year 1 – Establishment of EECD, Capacity Building and MEPS for Appliances................................... 55 

5.6.2  Year 2 - Short Term Activities....................................................................................................... 56 

5.6.3  Year 3 – Medium Term Activities................................................................................................... 58 

5.6.4  Year 4 - Long Term Activities........................................................................................................ 59 

6  IMPLEMENTATIONPLAN.................................................................................. 60 

7  CONCLUSIONS AND RECOMMENDATIONS.............................................................. 61 

8 ANNEXES..................................................................................................... 63 

8.1 Proposed Energy Efficiency Strategy................................................................ 64 

8.1.1 Introduction................................................................................................................................. 64 

8.1.2 Vision........................................................................................................................................... 64 

8.1.3 Goals and Objectives..................................................................................................................... 65 

8.1.4 Strategic Framework..................................................................................................................... 65 

8.1.5 Common Issues of the Energy Efficiency Strategy........................................................................... 67 

8.1.6 Strategic Objectives per Sector...................................................................................................... 67 

8.1.7 Structure and Functions of EECD................................................................................................... 71 

8.2 Sectoral Activities - Industry.......................................................................... 76 

8.3  Sector Activities - Commercial....................................................................... 86 

8.4  Sector Activities – Residential........................................................................ 95 

8.5 Sector Activities – Public Buildings................................................................. 104 

8.6 Industrial Sector Assessment - References...................................................... 109 

List of Figures 

Figure 3:1: Breakdown of energy end users in the Textile Industry in Bangladesh ..................................... 22

Figure 3:2: Energy consumption by End Use of Energy for Textile Industry in Bangladesh ......................... 24

Figure 3:3: Schematic view of preparation of extruded bricks in masonry brick manufacture ...................... 27

Figure 8:1: Components of the National Energy Efficiency Policy and Strategy in Myanmar ........................ 64

Figure 8:2: Proposed Organizational Structure for EE&C Division .............................................................. 71

Figure 8:3: Energy Efficiency Project Development Steps ......................................................................... 74 

List of Tables 

Table 2:1: Primary Energy Supply in Myanmar from 2000 to 2012 by Source (ktoe) .................................... 4

Table 2:2: Primary Energy Consumption in Myanmar from 2000 to 2012 (ktoe) .......................................... 5

Table 2:3: Electricity Installed Capacity in Myanmar from 2001 to 2012 by Source (MW) ............................. 5

Table 2:4: Electricity Generation in Myanmar from 2000 to 2012 by Source (GWh) ...................................... 6

Table 2:5: Electricity Consumption in Myanmar from 2000 to 2012 by Usage (GWh) ................................... 7

Table 2:6: Electricity Demand and Generation Forecast ............................................................................. 7

Table 3:1: Energy Saving Potential and EE Technologies by Sector ........................................................... 11

Table 3:2: Energy Benchmarking in Pulp and Paper Industry in Myanmar ................................................. 12

Table 3:3: Energy Benchmarking in Pulp and Paper Industry in Thailand .................................................. 13

Table 3:4: Potential improvement for Pulp and Paper Industry ................................................................. 15

Table 3:5: Best practice examples in Pulp and Paper Industry in Thailand ................................................. 16

Table 3:6: Benchmarking of energy consumption for producing primary types of steel in Bangladesh, 

Thailand and International .................................................................................................. 17

Table 3:7: Baseline of specific energy consumption in Major Steel Mills ..................................................... 19

Table 3:8: Benchmarking of specific energy consumption in cement industry in Myanmar, Thailand, 

International and Best Practice ............................................................................................ 19

Table 3:9: Low and medium investment practices for improved energy efficiency in the Cement 

Industry ............................................................................................................................. 20

Table 3:10: Best Available Technologies for energy efficiency options in the Cement Industry .................... 20

Table 3:11: Energy Savings Potential – Cement Industry ......................................................................... 21

Table 3:12: Benchmarking of specific energy consumption in textile industry in Bangladesh, Cambodia 

and International ................................................................................................................ 22

Table 3:13: Energy Savings Potential – Textile and Garment Industry ....................................................... 23

Table 3:14: Current status of sugar industry of Myanmar ......................................................................... 23

Table 3:15: Energy efficiency options for sugar industry .......................................................................... 25

Table 3:16: Specific Energy Consumption for Brick Making Processes in Asia ............................................. 28

Table 3:17: Specific Energy Consumption for Ceramic Industry in Thailand (DEDE, 2008) .......................... 29

Table 3:18: Specific Energy Consumption for Ceramic Industry in Europe from 1980 to 2003 in GJ/t .......... 29

Table 3:19: Installed and Available Electricity Generation Capacity in Myanmar (2012) .............................. 31

Table 3:20: Levels of thermal efficiency achievable for coal and lignite fired combustion plants .................. 31

Table 3:21: Efficiency of gas-fired combustion plants associated with Best Available Technologies ............. 32

Table 3:22: Potential Energy Savings according to Industrial Sector ......................................................... 33

Table 3:23: Potential Energy Savings in the Commercial Sector ................................................................ 34

Table 3:24: Potential Energy Savings in the Electrified Residential Sector .................................................. 35

Table 3:25:  Estimated Savings from Fuel Efficient Stoves (FES) ............................................................... 35

Table 5:1: Year 1 Activities in EE Roadmap ............................................................................................. 55

Table 5:2: Year 2 Activities in EE Roadmap ............................................................................................. 56

Table 5:3: Year 3 Activities in EE Roadmap ............................................................................................. 58

Table 5:4: Year 4 Activities in EE Roadmap ............................................................................................. 59

Table 6:1: Summary of Key Activities and Budget .................................................................................... 60

Table 8:1: National Focal Points and Stakeholders for EE Implementation ................................................. 66

Table 8:2: Task Specific Training Plan ..................................................................................................... 73

Table 8:3: Topics for DSM Training ......................................................................................................... 74

Table 8:4: Advanced Training Program ................................................................................................... 75

Acronyms 

National Stakeholders 

Executive Summary

1. INTRODUCTION

The Asian Development Bank (ADB) is providing assistance to the Government of Myanmar (GoM) for capacity development for Institutional Strengthening of the National Energy Management Committee (NEMC) in Energy Policy and Planning.  The focus is to increase the ability of NEMC to prepare policies and strategies in the energy sector and assist in the formulation of a long-term energy master plan.  This report covers the EE Policy, Strategy, the proposed activities in the key sectors and the road map for implementation.  

2. CURRENT ENERGY SITUATION IN MYANMAR

Overall, Myanmar has significant in-country energy resources such as hydropower as well as natural gas which it exports to countries in the region. It is ranked 34th globally in terms of hydrocarbon reserves. However, a significant amount remains unexploited but with greater energy demand and economic development these are likely to change. In 2011, domestic gas consumption was used mainly for gas-fired power plants (60%), fertilizer production (12%) and compressed natural gas (10%). In terms of hydro power, in 2012-2013, 2,780MW have been commissioned of an estimated potential of 100,000 MW. According to the National Energy Policy (2014) the electricity sector is expected to expand rapidly over the next decade with a target of 45% electrification by 2020-2021, 60% by 2025-2026. According to draft national electricity master plan cooperation with JICA and World Bank, target electrification ratio is 100% by 2030.   

3. ELECTRICITY SUPPLY AND CONSUMPTION

The existing electricity capacity and infrastructure can only meet about 50% of the current electricity demand resulting in regular load shedding and challenges in electricity supply management.  In 2012, the total electricity consumption in Myanmar was approximately 8,255 GWh representing about 135 kWh per capita per year which is amongst the lowest in Southeast Asia. Approximately 45% of electricity sales are in Yangon, followed by Mandalay with 16%.  In 2011, the registered peak load was 1,533 MW; however this value does not reflect actual demand but rather limited available/firm capacity from power plants and operational limitations.  

Electricity Generation 

Total electricity generation has quadrupled over the last 20 years, particularly as a result of increasing hydropower generation which represented 72% of total electricity generation. Interestingly, thermal generation has fluctuated significantly on an annual basis, while diesel has remained almost constant and natural gas generation has gradually fallen since its peak in 2005-2006.   

Table 1:1: Electricity Generation in Myanmar from 2000 to 2012 by Source (GWh) 

Source: Energy Planning Department, MOE. 

Electricity Consumption by Sector  

The Table below shows the breakdown of electricity production by sector, and in 2011 the residential sector accounted for 42% of total electricity consumption, followed by the industrial sector with 36% and commercial sector with 21%. 

Table 1:2: Electricity Consumption in Myanmar from 2000 to 2012 by Usage (GWh) 

Source: Energy Planning Department, MOE. 

In 2011, the electrification rate in Myanmar was approximately 27% which is a significant increase compared to 2006 when the value was approximately 16%. The electrification rate is higher in urban areas such as Yangon, Nay Pyi Taw, Kayar and Mandalay.   

Demand Forecasts   

An Electricity Supply Plan is currently under preparation and the demand forecast provided by the Ministry of Electric Power (MOEP) is shown in the Table below. It sets an ambitious but yet achievable target for electrification rate from 27% in 2011-2012 to 80% by 2030. Electricity installed and generation capacity are expected to rise by a tenfold for the same period.  

Table 1:3: Electricity Demand and Generation Forecast 

Source:  Ministry of Electric Power, National Energy Policy, 2014 

4.        ENERGY EFFICIENCY POTENTIAL

Industrial Sector Assessment 

The Table below provides a summary of the potential energy savings according to industrial sector. 

The highest average energy savings, percentage-wise, are estimated for the Iron & Steel Industry, Pulp & Paper and Sugar Mills due to their high electrical and thermal demands. The Ceramic and Cement Industry share similar best practices and therefore the potential percentage energy savings are equivalent. Although the percentage energy saving potential for the thermal power plants is relatively low compared to other industries, the actual generation saving (GWh) would be extremely significant (probably higher than all the savings combined for the industrial sector) as thermal power plants in Myanmar operate as base load. For example, thermal power plants in Myanmar generated 640 GWh of electricity in 2010/2011 and therefore a 4% improvement in energy efficiency of the thermal power plant would enable it use fuel more efficiently and avoid a generation loss of 25.6 GWh per year (ignoring capacity factors, operation hours, T&D losses).   It is important to note that these values are indicative and based on potential energy savings in the industrial sector of other neighboring Asian countries (particularly Thailand and Bangladesh) and international best practice (mainly from Europe). In addition, the table only includes the major industrial sectors in Myanmar and does not take into consideration investment costs required to apply these best practices. Detailed surveys and investment grade energy audits of the industrial sector in Myanmar are required to determine more accurately the potential energy savings and help establish energy efficiency targets for the sector. 

Table 1:4: Potential Energy Savings in the Industrial Sector 

Commercial Sector Assessment 

Initial observations in the commercial sector (office buildings, hotels etc) show a high usage of inefficient fluorescent lighting and electric hot water systems. Case studies from countries in the region show that significant savings could be achieved through the use of high efficiency fluorescent lighting and solar hot water (SHW) systems. 

The use of solar water heating (SWH) in hotels and restaurants are extremely rare with electric hot water systems being the norm.  The estimated EE potential in this sector is based on numerous case studies in the region, especially in Thailand, Philippines, India and Sri Lanka. The Table below provides a summary of energy saving potential in the commercial sector covering office buildings (AC and nonAC) and hotels/restaurants. 

Table 1:5: Potential Energy Savings in the Commercial Sector 

Residential Sector Assessment 

The residential sector assessment includes two sub-sectors, namely, urban and rural households based on electrical end-use technologies used. 

The current market penetration of EE products and appliances (lighting, air conditioning, refrigerators and other home appliances) is very low.  There is potential for significant energy savings through the introduction of Minimum Energy Performance Standards (MEPS) and Energy Labelling schemes similar to most countries in the region (Thailand, Malaysia, India, Philippines, Vietnam and Sri Lanka).  

The Table below provides a summary of the energy saving potential in electrified households. 

Table 1:6: Potential Energy Savings in the Electrified Residential Sector 

Biomass (fuelwood) is the primary energy source for cooking and there is potential for market transformation to efficient wood stoves (EFS) by addressing the initial cost barriers.  There are several case studies on EFS in Asia and South America.   The potential energy savings are from the adoption of Fuel Efficient Stoves (FES) and the use of LPG primarily in the urban sector.  Although LPG is not a EE measure but it is a more efficient use of Myanmar’s natural resources and also lower GHG emissions than the use of biomass.  It is noted that there is a wide variation in estimated fuelwood savings with FES in the various studies and in order to estimate the savings for the EE Policy the lower figure of 900 kg/HH/year is assumed.  Based on the information in the Myanmar Energy Policy, the total number of households is 8,905,674 of which 2,556,714 households are electrified. The use of fuelwood for cooking is common even in electrified households and hence, the potential transformation to FES would include a majority of the electrified households in addition to the nonelectrified households. 

Public Sector Assessment 

The Public Sector primarily includes office buildings, schools, hospitals and public lighting (street lighting) and the EE saving potential is similar to the Commercial sector.  The hospitals may have potential for cogeneration applications which will have to be assessed separately.  The potential in public lighting mainly involves the use of LED lighting systems or High Pressure Sodium (HPS) lamps in place of existing lamps which is a mixture of Mercury Vapor (MV) Lamps, fluorescent tube lights (FTLs), CFLs etc. 

5.        KEY ELEMENTS OF THE ENERGY EFFICIENCY POLICY

Energy Efficiency Policy Target 

The estimation of energy saving potential is focused on two areas: 

1. Electricity consumption in all sectors, and  
2. Biomass consumption in the residential sector. 

Overall Energy (Electricity) Saving Potential (%) 

Achievable Energy Saving Potential 2020 – 2030 (%) 

Note:  The above targets are based on the assumption that adequate resources are available for the implementation of the programs outlined in the Roadmap.  In addition, significant investment is required in the Industrial sector for upgrading process equipment.  Considering that the availability of resources are not clear at this stage, it is proposed that the achievable targets are halved in the interim and re-evaluated after 2 years. 

Biomass Savings 

6.        ENERGY EFFICIENCY ROAD MAP

Proposed Activities by Sector: The following matrix provides a list of activities that could be undertaken under each strategic objective for the particular sector. 

Sector:       Industry Sector 

Sector:       Commercial Sector 

Sector:       Residential Sector 

Sector:       Public Sector 

 7. IMPLEMENTATION PLAN

The Implementation Plan proposed in this section consolidates the Program Activities outlined in Section 6 into main categories and ranked in priority order.  The Table below provides a summary of the key activities to be undertaken and the resources required for implementation. 

Table: Summary of Key Activities and Budget 

8. INSTITUTIONAL ARRANGEMENTS

A separate Directorate under the MOI is proposed for the management of all EE&C activities in Myanmar.  The establishment of EECD was approved by the NEMC on 1^stApril 2014.   

Figure 1:1: Proposed Organizational Structure for EE&C Division

The above structure, comprising of the approved 18 positions, is considered to be the basic requirement to commence the implementation of the Roadmap.  It is recommended that an additional 10 positions are allocated in the next financial year – these are primarily in the technical or specialist category (classified as Members in the above structure) and include the following: Energy Data analysts (2) 

• Legal Expert (1) 
• EE Program Managers (4) 
• Marketing and Communication (3) 

The EECD will be responsible for the implementation of several common activities across the identified priority sectors that would ensure a sustainable approach to EE implementation in Myanmar.  These activities include the following: 

• Energy data collection and analysis 
• Energy Efficiency awareness and education 
• Monitoring & Evaluation 
• Develop Energy Efficiency standards for Buildings and Appliances 
• Accreditation scheme for Energy Auditors and Energy Managers 
• Regional cooperation and networking 
• Legal and Financial Framework for Energy Efficiency 

1 INTRODUCTION  

The Asian Development Bank (ADB) is providing assistance to the Government of Myanmar (GoM) for capacity development for Institutional Strengthening of the National Energy Management Committee (NEMC) in Energy Policy and Planning.  The focus is to increase the ability of NEMC to prepare policies and strategies in the energy sector and assist in the formulation of a long-term energy master plan. 

There are several activities under this Technical Assistance (TA) resulting in the development the Energy Master Plan (EMP).  The National Energy Efficiency (EE) Policy component would include all energy end-uses – electricity, oil, gas, coal and biomass.  The ADB contracted two independent EE Experts (Felix Gooneratne – International; Than Aye – National) to undertake the task of preparing the EE policy. 

The Inception Report provided information on the current energy sector regulations, policies, programs and activities, stakeholders, the overall energy efficiency potential and the approach and schedule for the preparation of the EE policy for Myanmar. 

This report covers the EE Policy, Strategy, the proposed activities in the key sectors and the road map for implementation.  A workshop to present the draft report was held in Nay Pyi Taw on 30^thSeptember 2014 and the comments/suggestions provided at the workshop has been incorporated in this report. 

1.1     Report Structure

The Report is structured as follows: 

Section 1:  Energy Efficiency Activities in Myanmar– provides information on the primary energy consumption, electricity supply, demand and forecast; and the EE related programs and activities undertaken to date with support from international donor agencies. 

Section 2:  Energy Efficiency Potential– this section provides a detailed assessment of the EE potential in all the key sectors (Industrial, Commercial, Residential, Public Sector) based on current practices and international best practices in the region.  Proposed EE targets for inclusion in the EE Policy and barriers to implementation are also provided. 

Section 3: Energy Efficiency Policy for Myanmar– provides information on the rationale for the policy, identifies linkages to the National Energy Policy (2014) and other related policies.  This section also provides information on achievable EE targets and the key sectors offering the greatest potential for EE. 

Section 4: National Energy Efficiency Strategy– presents the vision for energy efficiency and conservation in Myanmar and the policy/strategic framework (goals and strategies) for the EE Policy.  This section also includes the institutional framework for Energy Efficiency & Conservation (EE&C) in Myanmar. 

Section 5:  Energy Efficiency Roadmap– provides information of all sectoral activities to be undertaken over a period of 5 years towards achieving the EE policy objectives.  This section also includes the structure and capacity building requirements of a new Division established for the management and implementation of the Roadmap. 

Section 6: Conclusions and Recommendations– this section highlights the key issues encountered during the development of the EE policy and recommendations for addressing these to ensure that the objectives and schedule of EE implementation are met. 

2 ENERGY EFFICIENCYACTIVITIES IN MYANMAR  

2.1     Introduction 

Overall, Myanmar has significant in-country energy resources such as hydropower as well as natural gas which it exports to countries in the region. It is ranked 34th globally in terms of hydrocarbon reserves. However, a significant amount remains unexploited but with greater energy demand and economic development these are likely to change. In 2011, domestic gas consumption was used mainly for gas-fired power plants (60%), fertilizer production (12%) and compressed natural gas (10%). I In terms of hydro power, in 2012-2013, 2,780MW have been commissioned of an estimated potential of 100,000 MW.  

According to the National Energy Policy (2014) the electricity sector is expected to expand rapidly over the next decade with a target of 45% electrification by 2020-2021, 60% by 2025-2026. According to draft national electricity master plan cooperation with Japan international Cooperation Agency and World Bank, targeted electrification ration is 100% by 2030.  Currently, the per capita electricity consumption is around 180 kWh per year which is amongst in lowest in Southeast Asia. 

2.2     Current Energy Situation in Myanmar 

2.2.1 Summary of Energy Situation 

Myanmar has abundant energy resources, particularly for hydropower and natural gas. It is estimated that the hydropower potential in Myanmar is more than 100,000 megawatts (MW). Offshore gas is presently the country’s most important source of export revenues, currently supplying Thailand and a new gas pipeline to the People’s Republic of China (PRC) is planned and for which a proper social impact assessment is currently pending. There is limited information on the primary energy supply in Myanmar; however, with the expansion of natural gas, coal and hydropower productions, the energy supply split according to sources will be changing significantly. Per capita energy consumption of electricity in Myanmar is among the lowest in Asia, and currently about 30 % of the total households have access to electricity.  

A summary of the primary energy sources is given below. 

2.2.1.1 Oil and Gas 

Crude oil production reached 7,562 barrels per day in September 2011 with majority being produced in the Salin sub-basin. The government is aiming to increase oil production to 10,000 barrels per day to meet the growing demand for oil. In terms of natural gas production, it averaged about 1,865 Million cubic feet per day (Mcfpd) of which 48% from offshore Yadana, 27% from Shwe and 21% from Yetagun fields.  About 80% of the gas produced is exported to Thailand and PRC which is an important source of revenue to the Government; and around 20% is allocated to the domestic market. A conservative estimate of the domestic natural gas demand in 2013 was about 700 Mcfpd and the current allocation meets only around 50% of the demand.

2.2.1.2 Coal 

As of 2011, there were approximately 488.7 million tons of coal reserves in Myanmar. A total of 692,000 tons were produced in 2011, of which 52% was used by cement and steel companies and 

42% for power generation, such as the 120 MW coal-fired power plant in Tigyit, and 4% for cooking and heating in households. Annual coal production is projected to increase significantly to 2.7 million tons by 2016 and 5.6 million tons by 2031. 

2.2.1.3 Hydropower 

Myanmar has four main river basins - Ayeyarwaddy, Chindwin, Thanlwin, and Sittaung – which could potentially provide a significant amount of hydropower to the whole country. A total of 92 potential large hydropower projects have been identified with a total estimated installed capacity of 46,101 MW. In 2012-2013, hydro power represented 2,780MW ( 77%) of total installed capacity of 3,614 MW, which generated a total of 7,722 GWh. The key challenge for the government is to manage annual seasonal changes as the hydropower capacity diminishes significantly in the dry season with potential reductions of up to 400-500 MW.  In terms of small hydropower projects, a total 26 micro-hydro and 9 mini-hydro power projects have been developed by Myanmar Electric Power Enterprise (MEPE) ranging from 24 kW to 5,000 kW, particularly in rural border areas without grid connection. An additional 5 micro-hydropower projects are planned from Eastern Shan State (3), Kachin State (1) and North Eastern Shan State (1). 

2.2.1.4 Wind 

There is currently limited information on the wind potential in Myanmar. Initial data shows that there is a technical potential for development of 4,032 MW of wind energy or 365 TWh particularly in the Shan and Chin States, high areas of the central region and along the coast. Ministry of Electric Power (MOEP) has signed the Memorandum of Understanding (MoU) with Thailand Gunkul Engineering Public Co., Ltd and China Three Gorges Corporation (CTG) for the feasibility study to implement the 1000 MW installed capacity wind power projects in Tanintharyi, Mon and Kayin States and 1102 MW installed capacity projects in Chin State, Rakhine State, Ayeyarwady Region and Yangon Region. 

2.2.1.5 Solar 

There is also limited information on the potential for solar energy in Myanmar. The overall solar energy available is estimated at 51,973 TWh per year and the highest potential would be in the Central Dry Zone Area of Myanmar. Small solar panels are being used in rural areas for households, water pumping and irrigation and commercial supply to hospitals. For example, a 220 kW hybrid solarwind-diesel battery system provides electricity to 100 households in Chaungthar Village. 

The Ministry of Industry (MOI) operates a small thin-film solar PV factory and there are four solar equipment suppliers in Myanmar. The solar home systems (SHS), now widespread in Lao PDR and Cambodia, are not yet common in rural areas in Myanmar.  The Renewable Energy Association of Thailand and UNDP are undertaking an assessment of the replacement of candle light with Solar Lighting System with LED lights using a revolving fund.  

2.2.1.6 Biomass 

According to the Forest Resource Assessment (2010), 46.96% of the total land area of Myanmar is covered with forest and wood fuel, charcoal and biomass are traditional forms of energy use across the country. In 2007, biomass sources amounted to 63.9% of total primary energy consumed in Myanmar, of which wood fuel accounted for 43%, pigeon pea stalk for 26% and sesame stalk for 14%.  The proportion of households using wood fuel for cooking is much lower in the urban areas than in the rural areas, where wood fuel is a major energy source (93% of rural households compared to 42% in urban households). Charcoal is used in 42% of urban households and 4% of rural households. 

The potential annual yield of wood fuel is up to 19.12 million cubic tons and 18.56 million acres of land could generate residues, by-products or direct feedstock for biomass energy. Agricultural byproducts such as pigeon peak stocks, sugarcane bagasse, rice straw, rice husks, sesame stalks, and palm leaves, offer limited sources of energy. In addition, there is approximately 103 million head of livestock which generate animal waste which could be used for biogas. 

2.2.1.7 Geothermal 

MOEP has signed the MOU with Emerging Market Energy Pte., Ltd (EME) to do the feasibility study for the implementation of 200 MW installed capacity project in Tanintharyi, Sagaing, Magway and Mandalay Regions and Shan State.    

2.2.1.8 Tidal 

There are no studies on the potential for tidal energy in Myanmar despite a coastal line of 2,832 km. The first tidal power plant (3 kW) was installed in 2007 in Kanbalar village providing electricity to about 220 households (approximately 1,200 persons). A similar project was being implemented at a salt production site.  

2.2.1.9 Waste to Energy 

There is a significant opportunity to develop waste to energy projects in urban areas as the Myanmar Engineering Society (MES) estimates that there is a potential for at least 20 MW of waste-to-energy installed capacity. 

2.2.2 Energy Supply and Consumption Characteristics 

2.2.2.1 Primary Energy Supply  

The Table 2.1 provides a summary of the total annual primary energy supply in Myanmar for the period 2000 – 2012.  The figures in 2012 are considered the baseline energy demand for determining the EE potential. 

Table 2:1: Primary Energy Supply in Myanmar from 2000 to 2012 by Source (ktoe) 

Source: Energy Planning Department, MOE.                                                                   PP: Petroleum Products

2.2.2.2 Primary Energy Consumption 

The Table 2.2 provides a summary of the total annual primary energy consumption in Myanmar for the period 2000 – 2012.  The figures in 2012 are considered the baseline energy demand for determining the EE potential. 

Table 2:2: Primary Energy Consumption in Myanmar from 2000 to 2012 (ktoe) 

Source: Energy Planning Department, MOE. 

2.2.3 Electricity Supply and Consumption 

The existing electricity capacity and infrastructure can only meet about 50% of the current electricity demand resulting in regular load shedding and challenges in electricity supply management.   

In 2012, the total electricity consumption in Myanmar was approximately 8,255 GWh representing about 135 kWh per capita per year which is amongst the lowest in Southeast Asia. Approximately 45% of electricity sales are in Yangon, followed by Mandalay with 16%. 

2.2.3.1 Installed Capacity 

The Table 2:3 shows the total electricity installed capacity in Myanmar from 2001 to 2012, with hydropower currently representing 77% of total capacity.   The installed capacity of hydro has more than tripled from 2006 to 2012, while natural gas, thermal and diesel power plants have remained relatively unchanged from 2005 until 2012. 

Table 2:3: Electricity Installed Capacity in Myanmar from 2001 to 2012 by Source (MW)  

Source: Energy Planning Department, MOE. 

In 2011, the registered peak load was 1,533 MW; however this value does not reflect actual demand but rather limited available/firm capacity from power plants and operational limitations. The actual value in 2012 was estimated at approximately 1,957 MW and the actual shortfall estimated at 500 MW which is managed through load shedding. More importantly, the hydropower capacity diminishes significantly in the dry season with potential reductions of up to 400-500 MW.  

2.2.3.2 Electricity Generation  

Total electricity generation has quadrupled over the last 20 years, particularly as a result of increasing hydropower generation which represented 72% of total electricity generation (Table 2:4). Interestingly, thermal generation has fluctuated significantly on an annual basis, while diesel has remained almost constant and natural gas generation has gradually fallen since its peak in 2005-2006.   

Table 2:4: Electricity Generation in Myanmar from 2000 to 2012 by Source (GWh) 

Source: Energy Planning Department, MOE. 

2.2.3.3 Electricity Consumption by Sector  

Table 2:5 shows the breakdown of electricity production by sector, and in 2011 the residential sector accounted for 42% of total electricity consumption, followed by the industrial sector with 36% and commercial sector with 21%. 

Table 2:5: Electricity Consumption in Myanmar from 2000 to 2012 by Usage (GWh) 

Source: Energy Planning Department, MOE. 

Approximately 70% of the population lives in rural areas. Due to the lack of adequate electricity supply, the residential sector, both in urban and rural areas, is dependent on biomass for energy. On average, each household in Yangon consumes approximately 1,760 kWh, while in Nay Pyi Taw and Mandalay it is about 1,270 kWh per household. 

In 2011, the electrification rate in Myanmar was approximately 27% which is a significant increase compared to 2006 when the value was approximately 16%. The electrification rate is higher in urban areas such as Yangon, Nay Pyi Taw, Kayar and Mandalay. The proposed electrification plan is given in Section 2.2.4. 

2.2.4 Electricity Demand Profile and Forecast 

2.2.4.1 Demand Forecasts   

An Electricity Supply Plan is currently under preparation and the demand forecast provided by the Ministry of Electric Power (MOEP) is shown in Table 2.6. It sets an ambitious but yet achievable target for electrification rate from 27% in 2011-2012 to 80% by 2030. Electricity installed and generation capacity are expected to rise by a tenfold for the same period.  

Table 2:6: Electricity Demand and Generation Forecast 

Source:  Ministry of Electric Power, National Energy Policy, 2014 

According to draft national electricity master plan cooperation with JICA and World Bank, target electrification ratio is 100% by 2030. 

2.3     Past and Current Energy Efficiency Activities  

2.3.1 Past Energy Efficiency Initiatives and Outcomes 

2.3.1.1 ADB Programs 

The ADB has proposed a “Power Transmission and Distribution Improvement Project“ 

(46390-002) to rehabilitate distribution network in five townships in Yangon, Mandalay, Sagaing and Magwe regions; and expand transmission and distribution systems. The project aims to reduce the system losses and increase reliable electricity supply to urban 

and rural consumers. 

In December 2013, the ADB also approved a US$12 million project for “Enhancing Rural Livelihoods and Incomes” (47311-001), with support from the Government of Japan, which covers a number of tasks at rural level including rural electrification for households. The project focuses particularly on the Ayeyawady Delta, the Central Dry Zone, Taninthayi Region, and Shan State Plateau. The project will examine the feasibility of providing selected poor households with solar home systems and fluorescent tube lamps. Where this is not feasible, household solar lanterns might be considered. 

This current project is part of the ADB’s “Enhancing the Power Sector's Legal and Regulatory Framework” (46486-001), which was approved in October 2013. The ADB and Government of Norway are assisting the MOEP in updating the Myanmar Electricity Law and the Electricity Rules in order to reflect the current international standards and create an enabling regulatory framework for introducing an electricity regulator and respective institutional arrangements. This will involve the following: 

1. Providing an improved regulatory framework for gradual future sector unbundling (generation, transmission, and distribution subsectors);  
2. Encouraging greater private sector participation in generation projects and enabling thirdparty network access; 
3. Establishing rules and regulations for small independent power producers to promote off-grid electrification; 
4. Implementing rural electrification programs; and  
5. Introducing an electricity regulator consistent with internationally recognized good practices.  

Further projects are being proposed by ADB such as the “Off-Grid Renewable Energy Demonstration Project”. 

2.3.1.2 JICA/NEDO Programs 

The Japanese Government and Japanese Development Agencies are actively supporting energy efficiency and renewable energy in Myanmar. 

In addition to the support provided under ADB, as mentioned above, in January 2012, the New Energy and Industrial Technology Development Organization (NEDO) reached an agreement for cooperation towards the introduction of renewable energy and energy conservation technologies in Myanmar which entails the following activities: 

1. Formulation of an action plan for the introduction of renewable energy technologies in Myanmar 
2. Introduction of stand-alone power systems using renewable energy technologies 
3. Organization of seminars on renewable energy, energy conservation and environmental technologies. 

In 2013, the Japan International Cooperation Agency (JICA) also provided a grant for Rehabilitation of Baluchaung No.2 Hydropower Plant.  

2.3.1.3 ASEAN Programs 

The Association of South East Asian Nations (ASEAN), with funding support from the  European Commission under the Switch Asia Programme, setup the ASEAN Energy 

Management Scheme (AEMAS) with the objective of reducing the energy consumption of the manufacturing/industrial sector across the region. This is being implemented by training and certification of energy managers and the certification of energy end-users. In Myanmar, the training is being conducted with the support of the Myanmar Engineering Society (MES). From February to July 2013, MES organized one training for energy managers and has certified a total of 42 Energy Managers to date.  

2.3.1.4 UNDP Programs 

The UNDP has been carrying research on energy access in Myanmar and focusing particularly on rural communities. For example, UNDP supported a local community in Thicong village, Chin State, to setup a micro-hydropower plant in January 2010. Overall, 12 micro hydropower plants have been built in 12 villages in Myanmar by UNDPfacilitated community-based organizations. 

The Renewable Energy Association of Thailand and UNDP are currently undertaking an assessment for the feasibility of replacing candle light with Solar Lighting System with LED lights using a revolving fund. 

2.3.2 Energy Efficiency and Conservation Activities of the Ministry of Industry  

The following is a summary of EE&C activities of MOI:  

• Energy Audit of Mann petroleum refinery (2001) 
• PROMEEC Building Energy Audit Training(2003) 
• PRPMEEC Energy Management Training (2004) 
• Seminar- Workshop on EE&C for building Best Practices in South East Asia(2005) 
• Energy Audit of Kyankhin Cement Plant (2006) 
• Energy Audit of Thanlyan Oil Refinery Plant (2006) 
• Energy Audit of Mayangone Textile Factory (2008) 
• Energy Audit of Automobile Factory (2009) 
• Energy Management of No.(14) Heavy Industry, Thagaya (2010) 
• Energy Management of Earth Industrial (Myanmar)Co. Ltd, Yangon (2011) 
• ASEAN-Japan Energy Efficiency Partnership(AJEEP) Scheme 3 Workshop and Training (2013)  • Improvement of Industrial Energy Efficiency Project - Awareness Workshop (2013) 
• ASEAN-Japan Energy Efficiency Partnership(AJEEP) Scheme 3 Workshop and Training (2014)  
• Improvement of Industrial Energy Efficiency Project - Awareness Workshop (2014) 

Along with the Energy Audit Activities, Energy Management Practical Training and Seminar Workshop have also been arranged by Ministry of Industry. Energy Audits were conducted with the cooperation of ASEAN- Japan with the help of technical knowledge and testing equipments for energy audit activities. ASEAN Energy Management Handbook has been translated and published, 2011-12.  The MOI has also played a key role in the ASEAN Energy Award Program in Myanmar.   

The Table below provides a summary Awareness Raising Activities & Energy Management Handbook Training conducted by MOI. 

2.3.3 Planned Energy Efficiency Initiatives 

2.3.3.1 World Bank 

In January 2014, the World Bank Group announced a US$2 billion multi-year development program to improve access to energy and health care for poor people and support other 

key government development priorities. The energy component involves support for the development of a national electrification plan (under the Sustainable Energy for All initiative), enhance institutional capacity and promote regulatory reforms that are critical for sustainable private sector participation in power generation and distribution as well as scale-up of renewable energy for rural and off-grid electrification.  

2.3.3.2 UNIDO 

The United Nations Industrial Development Organisation (UNIDO) has setup a project called “Improvement of Industrial Energy Efficiency (IEnE) in Myanmar”. The objective is to promote sustained greenhouse gas emission reduction in the Myanmar industry by improving policy and regulatory frameworks; institutional capacity building for industrial energy efficiency; implementation of energy management system based on ISO 50001; and optimization of energy systems in industry. The project components include policy support, capacity building and demonstrations and up-scaling. The project will commence in January 2015 and be completed by December 2019 (60 months). 

3 ENERGY EFFICIENCY POTENTIAL  

3.1     Introduction  

This section assesses the EE potential in all the key sectors (Industrial, Commercial, Residential and Public) in Myanmar.  The assessment is made on the basis of current Best Practices in the region and their applicability in Myanmar.  The Table 3.1 provides a summary of the energy saving potential and EE technologies applicable for each of the above sectors. 

Table 3:1: Energy Saving Potential and EE Technologies by Sector 

3.2     Industrial Sector – EE Best Practices and Technologies 

3.2.1 Pulp and Paper Industry 

3.2.1.1 Status of the Pulp and Paper Industry 

Paper consumption in Myanmar has risen remarkably during the last few years. From 2002 to 2004, paper consumption rose over 35% but Myanmar still had to import two thirds of the paper used during 2004. Consequently, conditions under which the industry is being developed make it highly unlikely that this imbalance will be altered in the short term. Restrictions are also laid on the expansion of the industry by shortages of sufficient feedstock for small private factories and workshops that produce almost half of the paper and cardboard in the country. Many of these smaller plants still operate with antiquated machinery and their owners lack the necessary resources to import new equipment or upgrade old technologies. 

In Myanmar, non-wood materials are widely used in the pulp and paper industry, particularly the cellulose fibre such as bamboo. In 2005 to 2008, Bamboo was exploited largely by a newly developed pulp and paper plant in Tharbaung, Myanmar's south-western Ayeyarwaddy division. This plant has the largest installed capacity and capable of producing 200 tonnes of pulp and paper per day - 150 tonnes will be exported. Combining this with around 25,000 tonnes from state-run factories and 27,000 tonnes of privately-owned factories, the installed capacity has reached around 60,000 tonnes annually. Nonetheless, this overall capacity only fulfils 40% of the total demand in the country.  

3.2.1.2 Energy use in the Pulp and Paper Industry 

In general, pulp and paper manufacturing is one of the most energy-intensive sectors. Energy is a significant component of production cost and could amount to 25% of the total cost through either conventional heating form or electricity form (Paprican, 2008). 

The Ministry of Industry of Myanmar has been recording the energy profile of the pulp and paper industry. In 2011-12, the pulp and paper industry consumed 35 ktoe (1,465,380 GJ), ranking it amongst the top-ten most energy demanding businesses in Myanmar (IES, 2014). Table 3.2 shows the energy consumption of major pulp and paper plants in various areas in Myanmar. There is significant room for improvement in terms of its energy consumption. 

Table 3:2: Energy Benchmarking in Pulp and Paper Industry in Myanmar 

Source: Ministry of Industry, Myanmar 2014 

There are four plants, which produce by-products different to that shown in the Table 3.2: Print and 

Writing paper production in Tharbaung (Bleached method), Kraft paper production in Sittoung (Chemical method, using bamboo), newsprint plant in Paleik (recycling and deinking technology) and Kraft and card board production in Yeni (Mixed method). All of these plants are run by the state and the maximum capacity accounts for less than a quarter of total national demand.

In 2007, the Department of Alternative Energy Development and Efficiency of Thailand (DEDE) audited various paper companies in Thailand. The result is displayed in Table 3.3, showing that the average electricity consumption in the pulp and paper manufacturing process is around 500 to 800 kWh per tonne of by product. 

Table 3:3:Energy Benchmarking in Pulp and Paper Industry in Thailand 

Source: DEDE, Thailand 

Heat is essential in pulp and paper manufacturing, with the average consumption ranging from 5 to 13.5 GJ/tonne in Thailand. Table 3.3 shows that heat is consumed greatly in the pulp making process; as a result, implementing energy efficiency measures are crucial for this process. The table also indicates that producing newsprint generally consumes more electricity than other by-products; however less heat is required in this process. 

Energy consumption in Myanmar is often higher than the benchmark value in Thailand. Electricity consumption of Myanmar’s paper factories can range from around 1,000 kWh/tonne to almost 5,000 kWh/tonne.  In the same way, thermal consumption can vary between 4 GJ/tonne and 33 GJ/tonne. The data shows the potential savings of around 50% to 80% as compared to Thailand.  

In general, the pulp and paper industry in Thailand requires around 80% of heat energy and 20% from electricity. In Myanmar, however, electricity is utilized to generate heat in many factories.  

3.2.1.3 EE Technology/Practices/Measures and Potential Energy Savings 

Ideally, pulp and paper industry should adopt Cogeneration or Combined Heat and Power (CHP) technology, however since high investment is needed for this technology, low-cost, high-impact plans are highlighted in Table 3.4. 

Since steam is largely consumed in the pulp and paper industry, therefore energy efficiency initiatives that target at reducing steam system losses and improving the efficiency of process steam-using equipment are likely to reduce energy use in pulp and paper factories. In other words, minimizing the use of electricity can benefit the whole system as well. For example, minimizing the use of boiler blow down is one solution that is highlighted in Table 3.4.  

Additionally, Table 3.4 shows the level of capitalisation and impact of the energy efficiency options covering boilers and furnaces in the United States. It should be noted that the payback figures are based on the US electricity tariffs (7-10 cents/kWh) while the industrial tariff in Myanmar is currently around 10 - 15 cents/kWh. 

Table 3:4:Potential improvement for Pulp and Paper Industry 

Source:  USEPA, 2010 

Table 3.5 shows the energy efficiency options for the pulp and paper industry observed in Thailand that are applicable in Myanmar. It has been observed that some of these best practice methods, which have been applied in Thailand, considerably reduce the production cost for participating plants and have a typical Return on Investment value (ROI) of less than 3.5 years, which is generally considered attractive to investors.      

Table 3:5:Best practice examples in Pulp and Paper Industry in Thailand 

 Source:  DEDE, Thailand 2008 

3.2.2 Iron and Steel Industry 

3.2.2.1 Status of the Iron and Steel Industry in Myanmar 

The iron and steel industry is listed amongst the largest industries in Myanmar, and has an approximate total market demand of 1,000,000 tonnes per annum. Total production capacity of the private sector is estimated to be 100,000 tonnes per year. Myanmar’s government is the dominant player in the iron and steel industry and government-owned mills account for 70% of the domestic capacity. However, the total capacity (public and private) does not currently meet the market demand. Accordingly Myanmar imports considerable amount of iron and steel for construction purposes. It is estimated that around 600,000 tonnes of steel are imported from Thailand, South Korea, India and the People’s Republic of China. Myanmar's import of billet, at 117,000 tonnes in the first ten months of 2011 doubled in volume when compared to the same period in 2010 (SEAISI, 2012). 

3.2.2.2 Energy use in the Iron and Steel Industry 

As identified previously, energy consumption in this industry is significant, with 89 ktoe consumed between 2011 and 2012 (IES, 2014). Since information on the specific energy consumption is limited in Myanmar, the data in this analysis is based on data from neighbouring countries that have comparable technologies and infrastructure. A new ADB report published in 2014, discusses energy efficiency of the iron and steel industry in Bangladesh. The benchmarking data concerning energy consumption of the major types of steel in Bangladesh are shown in Table 3.6.  

Table 3:6:Benchmarking of energy consumption for producing primary types of steel in Bangladesh, Thailand and International 

Source: ADB, 2014 

Overall, the energy consumption of the steel industry in a developing country such as Bangladesh is significantly higher than the international average and that of Thailand. Accordingly, the Myanmar iron and steel industry is likely to apply similar processes and technology. In Myanmar, intermittent power outages are major constraint for the industrial sector and the iron and steel industry generally opts for the use of fossil fuel source instead. In 2011-12, this industry consumed 66 ktoe of coal and 23 ktoe of natural gas (IES, 2014) 

3.2.2.3 EE Technology/Practices/Measures and Potential Energy Savings  

Typically, iron and steel mills in Myanmar exploit heat from fossil fuel sources; coal and gas are the main energy sources to produce the required heat. The iron and steel industry in most developing countries has yet to show the significant outcomes, especially in terms of heat retention and equipment utilisation. Major savings can come through waste gas recovery systems, pressure recovery systems and furnace insulation. Based on the ADB study in Bangladesh (2014), the potential savings applicable to the iron and steel industry of Myanmar are highlighted as follows: 

• 20% from Exhaust Gas Heat Recovery 
• 5 – 10% by improving insulation, and 
• 20 – 25% by Automation of Re-heating Furnace 

A UNDP study in Bhutan states that a waste gas recovery project for a 900,000 tonnes per annum blast furnace is capable of saving 0.93 MWh/tonne or 3,348 MJ/tonne. In Direct Reduced Iron (DRI) or sponge iron, waste heat is used to transform water into high pressure steam. The steam is used to run a conventional condensing type of steam gas turbine for electricity generation. This practice can save 61,413 MWh per annum from 400 tonne per day of DRI production (UNDP, 2012). 

3.2.3 Cement Industry 

3.2.3.1 Status of Cement industry in Myanmar 

The cement industry is commonly categorised as an inorganic ceramic industry. The most commonly used type of cement is Portland cement, which is prepared by heating limestone with small quantities of other materials (such as clay) to 1,450 °C in a kiln. There are two widely known processes: wet process and dry process, the latter one is more thermal efficient. 

The construction business growth is closely linked with Gross Domestic Product growth. The cement industry, in turn, is inextricably linked with the construction business since most new constructions are built using concrete. Cement consumption in Myanmar has risen dramatically during the last few years, growing over 15% per year between 2011 and 2013. Myanmar's per-capita cement use is 7080 kilogrammes per year. Considerable investments from various sources have been bolstering the industry to meet fast-growing demand. Nevertheless, Myanmar still had to import around two-third of its production in 2012. Currently, the cement industry of Myanmar has a total installed capacity around 17,000 tonne per day. However, due to the low production yield, Myanmar produced only 2.8 Million tonnes per annum (Mtpa) in 2012. The majority of imported cement was brought from Thailand. It is anticipated that Myanmar will increase the total domestic generation to 5.5 Mtpa within 2015, as a result of the operation of new large-cement mills (LVT, 2013).  

The government of Myanmar still dominates the market, with total installed capacity of 9,900 tonnes per day, which accounts for around 60 percent. However, private sector is expanding rapidly and could overtake the state-owned within a couple of years. Since Myanmar is a naturally gas-rich country, most cement mills exploit natural gas as their primary fuel. In addition, the mills have been extensively subsidised over time, and could eventually cease to be competitive in the ASEAN Free Trade Zone under AEC obligation. As a result wet kilns will need to convert to the dry process to allow for improved efficiency to compete with other ASEAN countries, and natural gas may be substituted by coal due to costs (LVT, 2013). 

3.2.3.2 Energy use in the Cement industry 

Cement manufacturing is listed amongst the top-five energy intensive industries. Energy is a significant production-cost factor; 50-60% of the production cost is contributed to energy in either conventional heating or electricity. The typical electrical energy consumption of a modern cement plant is about 110–120 kWh per tonne of cement. Majority of the thermal energy is used during the burning process, while electrical energy is used for cement grinding (N.A. Madlool et al., 2011). 

There are 16 cement plants in Myanmar. Table 3.7 shows the two first plants in Myanmar: Thayet which was founded before the Second World War, and Kyangin, which was built few years later. The total energy consumption of these plants is around 5 to 6 GJ per tonne of cement production. Both plants use wet process which generally consumes more thermal energy than the dry process. 

Table 3:7:Baseline of specific energy consumption in Major Cement Plants 

                                     Year      Factory                            Thayet     Kyangin

                                     AVG                        catagories         (Wet)        (Wet)

Electricity (kWh)15,237,292 38,206,715 Gas (mcf)          1,024         2,954 Oil (litres)  4,676,509 11,240,485

Total Energy Demand (GJ)       55,963  1,667,201 Total Output (tonne)      130,003     334,530 

2008 - 2013

Electricity consumption

(kWh/tonne)          117.2         114.2 Thermal consumption

(GJ/tonne)            4.89           4.57 Total consumption

                                                  (GJ/tonne)                                5.32               4.98     

Source: Ministry of Industry, 2014 

Table 3.8 displays the specific energy consumption of the cement industry in Thailand and International range compared with Myanmar. In general, Myanmar’s cement industry still has a significant potential for improving its overall efficiency and yield. It is observed that around 42% of the energy consumption can be saved if the industry adopts energy efficient manufacturing technologies. The cement industry in Myanmar is currently close to the top end of the international benchmarking range and approximately only 13% below Thailand. If Myanmar were to reach best practice the total consumption value would have to improve by approximately 74%. 

Table 3:8:Benchmarking of specific energy consumption in cement industry in Myanmar, Thailand, International and Best Practice 

Source: DEDE, 2008, N.A Madlool et al., 2011 

3.2.3.3 EE Technology/Practices/Measures and Potential Energy Savings 

Grinding is a highly energy intensive process in the cement industry. Approximately 60 – 70% of total electricity used in a cement plant is utilised for grinding raw materials, coal and clinker (N.A. Madlool et al., 2011). Since the majority of cement mills in Myanmar use a wet process, the suggested solutions below will focus particularly on wet process technologies; however, the industry should eventually consider the dry process due to recent improvement in dry process technologies. 

Significant opportunities for energy conservation exist in the cement sector in terms of the technology, processes, and the energy efficiency options. These are highlighted in Table 3.9 and categorised by the level of investment. The high investment, high impact options are shown in Table 3.10. Although high capital is needed for both options, the energy savings will enable relatively short pay-back periods for the lifetime of the equipment.  The payback periods have been calculated based on various assumptions outlined in the reference journal (DEDE, 2008; N.A. Madlool et al., 2011). 

Table 3:9:Low and medium investment practices for improved energy efficiency in the Cement Industry 

Source: DEDE, 2008; N.A. Madlool et al., 2011 

Table 3:10:Best Available Technologies for energy efficiency options in the Cement Industry 

                                                            capital                        payback

                     Energy Efficiency options          Energy Saving                        remarks

                                                            ($/ton)                           (yrs)

                     Vertical Roller mill (VRM),                   12-43%

                     High pressure roller grinding 5-8   0.2-0.29 GJ/ton     < 2

                       (HPGR)                                      7-25 kWh/ton                   much better possibilities for 

                    Retrofit uni-flow burner with                                                  flame shape control, a high 

                                                             20-41   0.9-4.1 GJ/ton     >10.     momentum, and the flexibility to 

                     Multi-Stage preheater burner                                                use different types of fuels

             Source: N.A. Madlool et al., 2011; CSI, 2013 

Table 3.11 briefly summarizes the potential energy saving in various energy efficiency choices as aforementioned. 

Table 3:11:Energy Savings Potential – Cement Industry

Source: N.A. Madlool et al., 2011; CSI, 2013

3.2.4  Textile and Garment Industry 

3.2.4.1 Status of the Textile and Garment industry

Asia is the world’s garment factory, and this industrial sector provides employment to millions of people. Following anticipated, political and economic reform, the textile and garment industry in Myanmar is expected to grow exponentially. Myanmar has abundant cotton fields, with approximately 203,000 acres, capable of producing 25,000 million tonnes of cotton per annum (Aung Kyaw Soe, 2012) and a large low-wage workforce. However, the country still lacks a strong foundation for the industry such as subsidies, incentives and advanced technologies. Moreover, the country generally delivers poor-quality finished goods and as a result it still lags behind Bangladesh, People’s Republic of China and India. Nonetheless, this industry is expected to make a huge contribution to the economy in the near future and, as a result, increase the overall energy use of the country. 

The textile sector currently comprises of over 1,300 factories and continues to grow. Eleven (11) of them are the State-owned enterprises and according to the Ministry of Industry in 2011, Textile and Garment industry contributed to 8.26% of the total exports. In 2011 – 2012, the garment industry brought 1.7 billion USD to the country, and the annual growth rate during 2007 to 2012 was 14%. 

3.2.4.2 Energy use in the Textile industry 

Energy in the textile industry is commonly used through electricity (as a common power source for machinery, cooling systems, lighting, etc), while oil and natural gas are used to generate steam, for bleaching and finishing.  

Figure 3.1 shows the breakdown of energy use in the garment industry of Bangladesh. It indicates that electricity is mainly consumed in the spinning process, and thermal energy is mainly consumed by the bleaching and finishing process. While, a study of the Cambodian garment industry held in 2009, shows similar trends. 

Figure 3:1:Breakdown of energy end users in the Textile Industry in Bangladesh 

Source: ADB, 2014 

There is limited information on the current status of the textile industry in Myanmar; however, the International Finance Corporation (2010) and ADB (2014) have released reports on industrial energy efficiency for Cambodia and Bangladesh, respectively. These reports act as the best existing guideline for the textile industry of Myanmar. According to the IFC report, the average specific energy consumption for textile manufacture of Cambodia is 42 GJ per tonne of garment produced, which accounts for around 16.7% of total production costs. Biomass is the main source of energy, accounting for 43.3% of total energy use, followed by diesel and electricity at 27.9% and 24.5%, respectively. However, electricity accounts for the largest proportion of energy cost at 52% for producing a tonne of product.      

Table 3.12 shows the specific energy consumption of the textile industry in Bangladesh, Cambodia and 

International range. It is anticipated that the specific energy consumption in textile industry of Myanmar will range between 333 and 351. Based on this, the textile industry in Myanmar could reduce their energy consumption by approximately 25 to 29% of energy consumption if adopting energy efficient manufacturing technologies. 

Table 3:12:Benchmarking of specific energy consumption in textile industry in Bangladesh, Cambodia and International 

Source:  IFC, 2010; ADB, 2014 

3.2.4.3 EE Technology/Practices/Measures and Potential Energy Savings 

Although the majority of energy consumption of the garment industry comes from thermal processes, the energy efficiency technologies presented focus on the efficient use of electricity, fuel and steam due to the cost of use. Since there is limited information on the current status of the garment industry in Myanmar, the energy efficiency technologies will be based on the data from Bangladesh and Cambodia as shown in Table 3.13. The main findings of both reports suggest that: 

• Motor efficiency: motors are the main component of the garment industry, however most motors observed in those countries are old and inefficient. It is estimated that high efficiency motors have 10 – 20% greater efficiency than the currently used motors. 
• Lighting: the share of lighting in total electricity use can range between 15 and 23%. Studies also suggest that T8 Fluorescent Tubes (FTs) are used in most factories. By changing T8 FTs to T5 FTs, energy used in lighting is expected to reduce by 20% on avearge. 
• Boiler Efficiency: Air dampers are not regularly adjusted even when load fluctuates; poor insulation and low boiler efficiency are observed as well. Replacing obsolete boilers with three pass boilers will increase the boiler efficiency by 15 – 20%. 
• Humidification and air-conditioners: Low efficiency air-conditioners are observed in office areas, cooling in open areas are observed as well. By controlling air leakage and renovating the working space, 5 – 10% potential saving is expected.

Table 3:13:Energy Savings Potential – Textile and Garment Industry 

Source: IFC, 2010; ADB, 2014 

3.2.5 Sugar Industry 

3.2.5.1 Status of Sugar Industry 

There is significant production of sugarcane in Myanmar and production and consumption has been on the rise (Ministry of Agriculture, 2001). Small and medium enterprise (SMEs) sugar producers dominate the sugar business in Myanmar accounting for more than 60% of total output in 2006-07, while the remainder is through state-owned producers. Table 3.14 shows the production of Stateowned enterprises fluctuated slightly between 2002 and 2007, with only 1% growth, while the private sector grew 5% during the same period (Kudo T and San Thein, 2008). 

Table 3:14:Current status of sugar industry of Myanmar 

    (million tonnes)

Source: Kudo T. and San Thein, 2008 

3.2.5.2 Energy usage of Sugar Industry 

The sugar industry is relatively heat intensive, with heat occupying around 95% of its total energy consumption. Typically, steam generation pressure and temperature parameters are set in the range from 20 – 30 bar and 300 – 360° C, respectively; the turbines consumption can vary from 1,020 – 1,570 MJ per tonne of cane. In Thailand, the average specific steam consumption is about 1,330 MJ per tonne of cane and the average electricity consumption at 22 kWh per tonne per cane (Sumate Sathitbun-anan et al., 2012) 

In Bangladesh, most of the sugar mills have their own power generation units and use them as a primary source of energy. Around half of the units have their own captive power plant, utilising diesel and gas as fuel sources. Figure 3.2 shows energy consumption by end use in selected mills in Bangladesh. It can be seen that the centrifuging and boiling processes consume most energy at 38% and 18%, respectively. 

Figure 3:2:Energy consumption by End Use of Energy for Sugar Industry in Bangladesh 

 Source: ADB, 2014 

3.2.5.3 EE Technology/Practices/Measures and Potential Energy Savings 

There is limited information on the status of sugar mills in Myanmar. However, the ADB (2014) report for Bangladesh, highlights the following issues: 

• Heat recovery: most factories do not deploy waste heat from gas engine generators 
• Cogeneration: the absence of attractive policy for feeding-in tariffs discourages factories from developing higher efficiency plants  
• Steam: most factories rely too much on steam generation, especially by fossil fuel sources 

It can be inferred that most sugar mills in Myanmar rely heavily on fossil fuels. Since fuel oil and diesel are costly, the production cost of such industries becomes high and any possible energy savings can prove substantial in reducing of overall costs. Table 3.15 shows energy efficiency solutions that have been applied to Thailand’s sugar industry. 

Table 3:15:Energy efficiency options for sugar industry 

Source: Sumate Sathitbun-anan et al., 2012 

3.2.6 Rice Milling Industry 

3.2.6.1 Status of Rice Milling Industry 

The agricultural sector plays a crucial part in Myanmar’s economy for both national consumption and export. Myanmar is likely to improve its position as a major world rice exporter because of the favorable climate and abundant cultivatable land. In 2011, the total area of paddy fields was reported at 18.76 million acres, which accounted for 34 percent of total agricultural area. In general, rice farming can be done only twice a year (Monsoon season and summer season); however, due to technological advancements, some countries cultivate their fields 3 to 4 times a year. In 2011-12, the rice production yields in monsoon and summer seasons were reported at 71.91% and 89.36% respectively. The yields per acre of aforementioned seasons were reported at 1.5 and 1.86 tonnes per acre; these figures reflect that the rice production yield of Myanmar is lower than Asia’s average (U Htin A. S. and U Kyaw Myint, 2012). 

There was a substantial increase in the level of exports reported in 2012-13, due to growing demand from the People’s Republic of China and the low-cost of Myanmar’s rice. It is estimated that the rice exports will only grow slightly in the next coming years, due to the significant accumulated stocks in Thailand, and the saturation of the rice market (David Dapice, 2013).

3.2.6.2 Energy use in the Rice Milling Industry 

Rice milling involves the removal of husk and bran from rough rice to produce white rice. It is composed of two main units - de-husking and whitening. In steam-engine rice mills, the mechanical milling equipment (for example, the husker, whitener and polisher) is driven by a steam engine. In electrical rice mills, all equipment is powered by electricity. However, steam-engine rice-mills still require electricity for some functions, such as, the packaging machine, colour sorter and lighting in the mill. 

Currently, there are approximately 30,000 commercially active rice mills in Myanmar (NEDO, 2013). Majority have dilapidated milling facilities and equipment, mostly a mixture of Chinese and local technology. The obsolete processing units lead to quantity losses of about 15-20%, and quantity loss during milling. The average milling ratio is estimated to be 60 percent, lower than in Cambodia and many other neighboring countries (World Bank, 2014).

Due to limited information about the current energy profile of the rice milling industry in Myanmar, information of Thailand’s rice milling industry will be used as reference: 

• Most rice mills require less than 1 MW, and the reciprocating steam engine is suitable for power generation up to 1 MW 
• Many rice mills opt for the electrical mills because of its simplicity in operation; however, most of them have suffered from the increases in price of the electricity 
• Husk-fired steam engines are proven to be technological viable and cost effective, however not many mills are currently using this technology 

Globally, Specific Electricity Consumption for typical rice mills range from 22 – 45 kWh per tonne of paddy and the Specific Energy Consumptions range from 13.2 – 15.8 MJ per kg. For example, in Thailand, a study in 2004 reported that 14.4 MJ was used to produce 1 kg of rice.  

3.2.6.3 EE Technology/Practices/Measures and Potential Energy Savings 

There is also limited information about the EE technologies used in the rice milling industry of Myanmar; this study will report the benchmarking value from Thailand. Most of the boilers used in the Thai steam rice mills are 3-pass fire-tube boilers with inclined step-grate furnaces. The efficiency of such boilers is very low - around 40%. Since rice milling technologies have been developing continually, the potential savings provided by different options are highlighted as follows: 

• 20% savings by replacing the obsolete boilers with traveling-grate stoker water-cooled furnace wall fire-tube boiler (Chanoknun S. et al., 2007) 
• 15% savings by using rice husks as a source of fuel (IFC, 2010) 

Higher savings could be obtained through Cogeneration, also known as Combined Heat and Power (CHP), using biomass boilers and gas turbines, which would provide electricity and thermal energy simultaneously. The steam is used for paddy drying, and the fuel source can be obtained from the rice husk residue. This technology is proved to be financial viable and has a potential saving around 15%. 

3.2.7 Ceramic and Brick Industry 

3.2.7.1 Status of the Ceramic and Brick Industry 

The Ceramic Industry comprises of a number of different product manufacturing such as tiles, household ceramics, sanitary ware, clay pipes, refractory products, etc. In this process, the ceramic products are manufactured by the use of mostly inorganic materials made up of non-metallic compounds and made permanent by a firing process. The Brick Industry generally falls under the Ceramic Industry and applies similar manufacturing processes. The manufacture of ceramic products can take place in different type of kilns, with a wide range of raw materials and in numerous shapes, sizes and colours. However, the general manufacturing process is relatively uniform with often multiple stage firing process depending on the end-product. The typical main stages of ceramic manufacturing include mixing, shaping, pressing, drying and firing, and product finishing (Figure 3.3). Basically the raw materials are mixed and cast, pressed or extruded in to shape. Water is regularly used for a thorough mixing and shaping. This water is evaporated in dryers and the products are either placed by hand in the kiln – especially in the case of periodically operated shuttle kilns – or placed onto carriages that are transferred through continuously operated tunnel or roller hearth kilns. For the manufacture of expanded clay aggregates, rotary kilns are used. During the firing process, accurate temperature gradient is required. Thereafter, a controlled cooling is applied if necessary (EC, 2007).  

In the brick industry, in the drying process, chamber and tunnel dryers are commonly used and provide temperatures between 75 to 90 degrees Celsius and with drying times of 8 to 72 hours. The firing process can be conducted in a range of different types of kilns (see Table 3.16) with temperatures above 800 degrees Celsius and operating between 45 to 60 hours continuously. The dryers can be heated by the excess heat from the kiln or some cases by fuel oil burners.  

Figure 3:3:Schematic view of preparation of extruded bricks in masonry brick manufacture 

Source: EC, 2007

Overall, the ceramic industry is relatively energy intensive due to the firing process and the share of energy/fuel costs can vary from 15% to 40% depending on the raw material, manufacturing process and product type and firing techniques applied. The energy source, firing technique and heat recovery method are critical for the design of the kiln and the energy efficiency of the manufacturing process. 

In Asia, the typical fossil fuels used in the ceramic sector include LPG, oil, kerosene and coal oil, while the brick industry uses coal, heavy fuel oil, gas, coal and petroleum coke. Biomass can also be used such as rice husk, paddy husks, saw dust and firewood (e.g. Sri Lanka and Vietnam). Electricity is utilized by electric motors for the preparation of raw materials through milling and pressing as well as blowers for the drying and firing process.  There is currently limited information on the energy use and technology in the ceramic industry in Myanmar. However, the ADB (2014) has published a report on industrial energy efficiency on the ceramic and brick industry in Bangladesh and highlights the present practice as follows: 

• Most factories do not deploy waste heat recovery systems for the furnaces and kilns in the drying process.  
• For factories using electric motors, these are typically over-sized and low efficiency and when at the end of their lifetime, the factory owners tend to prefer to have them rewired rather than purchasing new motors. 
• No parameters are measured in the drying chamber such as temperature, humidity and duration – based exclusively on experience. Inappropriate drying can cause products to crack or break.  

According to an AIT study (2003), in the Philippines, 25% of the heat supplied to the kiln is used in actual production and 75% of heat supplied is lost in the exhaust, due to improper combustion, radiation, and convection losses in kiln walls.  

Table 3.16 provides specific energy consumption of different brick making technologies in Asia, showing that the tunnel kiln is generally the most efficient process. A continuous tunnel kiln running on oil or gas will have efficiencies ranging from 45 to 76%. A Vertical Shaft Brick Kiln can provide equivalent or higher efficiencies than tunnel kilns. In China, in 2000, 85% of the brick manufacturers were still using annular kilns which are less efficient than tunnel kilns. The specific energy consumption for ceramic industry depends very much on the energy source, firing technique and heat recovery method and therefore can vary significantly. For example, in the Philippines, from 1996 to 1999, the specific energy consumption for typical ceramic factories ranged from 5.3 to 147.2 MJ/kg of product if using LPG and 0.22 to 1.35 MJ/kg of product if using electricity. The LPG related values are particularly high as the factories considered had inefficient fuel combustion, defective insulation and low firing capacity. Table 3.17 shows the specific energy consumption for ceramic industry in Thailand. 

Table 3:16:Specific Energy Consumption for Brick Making Processes in Asia 

Source:  AIT, 2003 

Table 3:17:Specific Energy Consumption for Ceramic Industry in Thailand (DEDE, 2008) 

Source: DEDE, 2008 

The information mentioned above for neighbouring countries probably provides a glimpse of the Ceramic and Brick Industry in Myanmar. Comparatively, in Europe, Specific Energy Consumption for the Ceramic Industry, including Brick Industry, from 1980 to 2003 is provided in the Table 3.18. The specific energy consumption for drying and firing for facing bricks is about 1.6 – 3.0 MJ per kg for tunnel kilns and is similar to that of the Asian countries. 

Table 3:18:Specific Energy Consumption for Ceramic Industry in Europe from 1980 to 

2003 in GJ/t 

Source:  EC, 2007 

3.2.7.2 EE Technology/Practices/Measures and Potential Energy Savings 

To reduce energy consumption in the ceramic and brick industry, the standard best available techniques include (EC, 2007): 

• Improved design of kilns and dryers 
• Recovery of excess heat from kilns, especially from their cooling zone 
• Applying a fuel switch in the kiln firing process (substitution of heavy fuel oil and solid fuels by low emission fuels) 
• Modification of ceramic bodies 
• Cogeneration 

To complement the above, and based on DEDE (2008), the following potential savings could be achieved in the Ceramic Industry in Thailand: 

• High InvestmentoGas-Assisted Microwave Firing System: a modern kiln that can deliver up to 39-44% savings against standard technology. This system adjusts the suitable microwave frequency for sanitary ware but is considered a high investment. 
• Low Investment:
  • A waste heat recovery system could deliver about 11% energy savings (based on actual audit). It is considered low investment. 
  • Reduction of compressed air leakage could deliver 8-10% energy savings. 

Majority of the ceramic and brick manufacturers in Europe use hot air recovered from the cooling zones of tunnel kilns and usual supplement these with hot air from a gas burner which can provide significant energy savings. The only additional costs would refer to pipe insulation. According to the ADB study in Bangladesh (2014), the potential savings applicable to the ceramic and brick industry could include: 

• 10 - 15% savings using waste heat from exhaust flue gas for the dyers and     5 - 10% by replacing existing motors with high efficiency motors. 
• 3 – 7% through jacket cooling of gas engine exhaust. 

According to the ADB study, the international best practice for ceramics industry is 0.6 toe/ton (25 GJ/ton) and in Bangladesh the value is at 1.23 toe/ton (51.5 GJ/ton) indicating there could be a potential saving of approximately 50% by applying a series of best practices. This value is not comparable with the Specific Energy Consumption figures from the AIT and the European Commission probably due to different definitions of end-product. For example, the IEA (2007) states that the specific energy consumption for the brick industry in China is 0.628 t standards coal per 10,000 bricks (0.78 GJ/ton). However, the European Commission’s Specific Energy Consumption figures can be compared with the AIT figures and roughly highlights the potential savings that could be made by applying best practices and technologies in the Ceramic and Brick Industry. 

It is important to note that higher savings could be obtained through cogeneration, using diesel engines or gas turbines, which would provide simultaneous electricity and heat to the process. The excess heat could be used for the production of hot air for the drying process and mixed with the kiln excess heat.  

Alternatively, changing from heavy fuel oil to gaseous fuels can also lead to an improvement in the firing efficiency and the modification of ceramic body composition could reduce the necessary drying and firing period and therefore reducing the energy use. 

3.2.8 Thermal Power Plants 

3.2.8.1 Status of Thermal Power Plants 

Thermal power plants only accounted for 8% of total installed capacity in Myanmar in 2010-2011. There are both coal and thermal power plants and these typically perform below standard efficiencies as a result of poor maintenance. The age of existing thermal power plants ranges from 40 years (1974) to 10 years (2005). The average capacity factor of these thermal power plants is 70% and they are supplying base load and running continuously (Table 3.19). In addition, the natural gas power plants have a lower generation output than excepted due to the calorific value of Myanmar’s gas and low pressure without gas compression. The typical technologies utilized for these thermal power plants include Gas Engines, Gas Turbines, Steam Turbines and Combined-Cycle Gas Turbines. Majority of the thermal power plants in Myanmar are Gas Turbines.  

Table 3:19: Installed and Available Electricity Generation Capacity in Myanmar (2012) 

Source: Ministry of Electric Power 

3.2.8.2 EE Technology/Practices/Measures and Potential Energy Savings 

For Myanmar, the upgrade and rehabilitation of existing thermal power plants should be one of the main priorities to enhance the overall efficiency. According to ADB (2013), the rehabilitation and upgrading of 1 coal and 10 gas-fired power plants is necessary and the available capacity of both gas and coal power plants are low due to poor maintenance. For example, the 120 MW (2x60 MW) coal power plant in Tigyit has an average capacity factor of 31% when it should actually be 75%-80% for a standard energy efficient coal power plant. This example clearly highlights the potential savings from enhancing the existing power plants.  

Combined Cycle Power Plants apply the best commercially available technologies which comprises of two thermodynamic cycles, with the gas turbine burning natural or synthetic gas from coal/oil, and its hot exhaust gas powering a steam power plant. The latest combined cycle technology allows for net efficiencies of 52% to 60% (lower heating value) and has been achieved in existing power plants in Germany and South Korea. Comparatively single cycle gas power plants have efficiencies around 35 to 42% (WEC, 2013). These enhancements in efficiencies are due to significant improvements in the turbine technology. In some cases, the Combined Cycle Power Plants can be applied as Combined Heat Power Plants to enable the use of excess heat for neighbouring industries and providing additional energy savings.  

Table 3.20 and 3.21 highlight the thermal and electrical efficiencies for current and new power plants under different combustion technologies and fuel source. Comparing thermal and electrical efficiencies of existing power plants in Myanmar with the tables below will enable to determine the potential energy savings. As there is limited information on the current net thermal efficiencies, it was assumed these are around 36% and therefore gains of at least 10% net thermal efficiencies should be achievable with technology upgrades. In terms of electrical efficiency, gains in efficiency of at least 5% should be achievable in Myanmar. Overall, efficiency gains could amount to 15% which is significant for a thermal power plant.  

Table 3:20: Levels of thermal efficiency achievable for coal and lignite fired combustion plants

Source:  EC, 2006 

Table 3:21: Efficiency of gas-fired combustion plants associated with Best Available Technologies 

Source:  EC, 2006 

It is important to note that high efficiency power plants will have high capital costs and that the highest efficiencies are only achieved with extremely high steam parameters used in base load plants (which is the case with the current thermal power plants in Myanmar). Peak-load plants with frequent start-up cycles have to be designed with lower steam parameters resulting in lower efficiencies. In addition, the above efficiencies depend on operational load, quality of the fuel, cooling system of the power plant, its geographical location and energy consumption of the flue-gas cleaning system. There is limited information available on the technologies and efficiency of existing thermal power plants in Myanmar to enable a more detailed determination of the potential energy savings. 

In addition to the technological improvements mentioned above, there are also several techniques to increase the efficiency of existing power plants (EC, 2006): 

• Combustion: minimising the heat loss due to unburned gases and elements in solid wastes and residues from combustion 
• The highest possible pressure and temperature of medium pressure steam. Repeated super heating of the steam to increase net electrical efficiency 
• The highest possible pressure drop in the low pressure end of the steam turbine through the lowest possible temperature of the cooling water (fresh water cooling) 
• Minimising the heat loss through the flue gas (utilisation of residual heat) 
• Minimising the heat loss through the slag 
• Minimising the heat loss through conduction and radiation with isolation 
• Minimising the internal energy consumption by taking appropriate measures, e.g. scorification of the evaporator, greater efficiency of the feed-water pump 
• Preheating the boiler feed-water with steam 

3.2.9 Summary of Potential Energy Savings in Industrial Sector 

The Table 3.22 below provides a summary of the potential energy savings according to industrial sector. The highest average energy savings, percentage-wise, are estimated for the Iron & Steel Industry, Pulp & Paper and Sugar Mills due to their high electrical and thermal demands. The Ceramic and Cement Industry share similar best practices and therefore the potential percentage energy savings are equivalent. Although the percentage energy saving potential for the thermal power plants is relatively low compared to other industries, the actual generation saving (GWh) would be extremely significant (probably higher than all the savings combined for the industrial sector) as thermal power plants in Myanmar operate as base load. For example, thermal power plants in Myanmar generated 640 GWh of electricity in 2010/2011 and therefore a 4% improvement in energy efficiency of the thermal power plant would enable it use fuel more efficiently and avoid a generation loss of 25.6 GWh per year (ignoring capacity factors, operation hours, T&D losses). 

 It is important to note that these values are indicative and based on potential energy savings in the industrial sector of other neighboring Asian countries (particularly Thailand and Bangladesh) and international best practice (mainly from Europe). In addition, the table only includes the major industrial sectors in Myanmar and does not take into consideration investment costs required to apply these best practices. Detailed surveys and investment grade energy audits of the industrial sector in Myanmar are required to determine more accurately the potential energy savings and help establish energy efficiency targets for the sector. 

Table 3:22: Potential Energy Savings according to Industrial Sector 

3.3     Commercial Sector Assessment 

Initial observations in the commercial sector (office buildings, hotels etc) show a high usage of inefficient fluorescent lighting and electric hot water systems. Case studies from countries in the region show that significant savings could be achieved through the use of high efficiency fluorescent lighting and solar hot water (SHW) systems. 

The use of solar water heating (SWH) in hotels and restaurants are extremely rare with electric hot water systems being the norm.  The estimated EE potential in this sector is based on numerous case studies in the region, especially in Thailand, Philippines, India and Sri Lanka.  Table 3.23 provides a summary of energy saving potential in the commercial sector covering office buildings (AC and nonAC) and hotels/restaurants. 

Table 3:23: Potential Energy Savings in the Commercial Sector 

3.4     Residential Sector Assessment 

The residential sector assessment includes two sub-sectors, namely, urban and rural households based on electrical end-use technologies used. 

The current market penetration of EE products and appliances (lighting, air conditioning, refrigerators and other home appliances) is very low.  There is potential for significant energy savings through the introduction of Minimum Energy Performance Standards (MEPS) and Energy Labelling schemes similar to most countries in the region (Thailand, Malaysia, India, Philippines, Vietnam and Sri Lanka).  

The Table 3.24 provides a summary of the energy saving potential in electrified households. 

Table 3:24: Potential Energy Savings in the Electrified Residential Sector 

Biomass (fuelwood) is the primary energy source for cooking and there is potential for market transformation to efficient wood stoves (EFS) by addressing the initial cost barriers. There are several case studies on EFS in Asia and South America.   The potential energy savings are from the adoption of Fuel Efficient Stoves (FES) and the use of LPG primarily in the urban sector.  Although LPG is not a EE measure but it is a more efficient use of Myanmar’s natural resources and also lower GHG emissions than the use of biomass. Methodologies adopted in recent studies in Myanmar have been used for estimating savings.  The Table 3.25 provides a summary of surveys conducted in rural households and the potential savings estimated from switching from traditional stoves to FES. 

Table 3:25: Estimated Savings from Fuel Efficient Stoves (FES) 

It is noted that there is a wide variation in estimated fuelwood savings with FES in the various studies and in order to estimate the savings for the EE Policy the lower figure of 900 kg/HH/year is assumed.  Based on the information in the Myanmar Energy Policy, the total number of households is 8,905,674 of which 2,556,714 households are electrified. The use of fuelwood for cooking is common even in electrified households and hence, the potential transformation to FES would include a majority of the electrified households in addition to the non-electrified households. 

There is a very low penetration of solar home systems (SHS) and as a result various forms of energy are used for lighting. Lead acid batteries are widely used in rural households which are mostly charged by roadside vendors using a solar panel or generator.  Wider use of SHS and micro-hydropower could be considered as a part of the rural electrification program where on-grid connection is unfeasible. 

3.5     Public Sector Assessment 

The Public Sector primarily includes office buildings, schools, hospitals and public lighting (street lighting) and the EE saving potential is similar to the Commercial sector. The hospitals may have potential for cogeneration applications which will have to be assessed separately.  The potential in public lighting mainly involves the use of LED lighting systems or High Pressure Sodium (HPS) lamps in place of existing lamps which is a mixture of Mercury Vapor (MV) Lamps, fluorescent tube lights (FTLs), CFLs etc. 

3.6     Barriers to Energy Efficiency Implementation 

Some of the main barriers to the adoption of EE&C in Myanmar are summarized below: 

Regulatory

• Lack of clear policies and regulation to encourage adoption of EE&C 
• Absence of mandatory policies with regard to energy performance of electrical appliances 
• Lack of legal and financial infrastructure to support performance contracts between end-users and ESCOs Financial 
• Lack of funding for program implementation 
• Lack of financial incentives to encourage private sector investment in EE&C 
• High reliance on donor funding for program implementation 
• Lack of experience of financial institutions on EE performance contracts  

Institutional

• Lack of a dedicated government agency with adequate capacity to coordinate the implementation of EE&C programs. 
• Lack or limited availability of good quality data required for energy planning 
• Limited resources in responsible government agencies to implement programs 
• Lack of coordination amongst multiple agencies responsible for EE and RE policies and implementation 
• Limited or no mechanism for monitoring and verification of energy savings Other 
• Lack of technical capacity amongst end-users to initiate EE projects     Limited ESCO services  
• Limited availability of energy efficient technologies 
• High penetration of low efficiency electrical appliances 

3.7     Energy Saving Targets 

This sections detail the approach adopted in calculating the energy savings targets to be included in the EE Policy. 

3.7.1 Data Limitations 

The primary energy consumption data in Table 2.1 provides the energy sources (crude oil, natural gas etc) but the end-use information is not available.  It is also understood that the estimation of biomass consumption use rural fuelwood survey information conducted in the 1990s and number of rural households from information provided by the Ministry of Immigration and Manpower.  There is no information on biomass consumption in the industrial sector.  In addition, the primary energy includes transport sector which was not considered in determining EE options. 

The information provided by MOEP on annual electricity consumption is at the sectoral level 

(Industrial, Commercial, Residential and Other).  Data was collected at the sub-sector level in the Industrial category; however, it was difficult to reconcile this data with the overall sectoral consumption.  There is no sub-sectoral (office buildings, hotels etc) information available for the commercial sector.   

In the Residential sector there have been several studies conducted by various agencies (e.g. MercyCorps) in electrified and non-electrified households with limited scope and this information has been used for the estimation for the total population. 

Considering the above, the establishment of an energy-use database has been proposed as a priority activity to be undertaken in Year 1 of the Road Map. 

3.7.2 Approach 

The estimation of energy saving potential is focused on two areas: 

1. Electricity consumption in all sectors, and  
2. Biomass consumption in the residential sector. 

3.7.2.1 Electricity Savings  

With the current rural electrification program it is estimated that the electricity consumption will increase by three-fold by 2020, six-fold by 2025 and by ten-fold in 2030 compared to the current consumption (Table 2.5).  Technology assessments of the key industrial sub-sectors were undertaken using case studies in the region and the results are summarized in Section 3.2.  These results were used in estimating the saving potential in the industrial sector (Table 3.22) . 

The energy savings in the Commercial, Residential and Public sectors was determined from several case studies from recent projects in the region (Thailand, India, Vietnam, Sri Lanka and Philippines) including several funded by the ADB (TA 7194-THA, TA 7024-VIE, TA-7778- SRI, Loan 2507-PHI).  Details of the EE potential in these sectors are given in Sections 3.3 to 3.4. 

3.7.3 Energy (Electricity) Saving Potential by Sector 

3.7.4 Potential Biomass Savings 

Assumptions

Biomass Savings 

3.7.5 Calculation of EE Policy Target  

3.7.5.1 Overall Energy (Electricity) Saving Potential (%) 

3.7.5.2  Achievable Energy Saving Potential 2020 – 2030 (%) 

Note:  The above targets are based on the assumption that adequate resources are available for the implementation of the programs outlined in the Roadmap.  In addition, significant investment is required in the Industrial sector for upgrading process equipment.  Considering that the availability of resources are not clear at this stage, it is proposed that the achievable targets are halved in the interim and re-evaluated after 2 years. 

3.7.5.3 Achievable Energy Saving Potential 2020 – 2030 (GWh) 

4 PROPOSED ENERGYEFFICIENCY POLICY  

4.1     Current Energy Efficiency Related Policies  

4.1.1 National Energy Policy  

The draft national Energy Policy (2014) details the key objectives which are summarized below:  

1. Energy Security:The main objective of the Myanmar Energy Sector Policy is to ensure energy security for the sustainable economic development in the country; and to provide affordable and reliable energy supply to all categories of consumers, especially to those living in the remote areas that are currently without electricity. The policy aims to achieve the Government’s overarching objective of poverty reduction and improvement in the quality of life of its people. The policy also aims to increase foreign exchange earnings through energy exports after meeting the national demand. 
2. Expansion of Renewable Energy Infrastructure:  The Energy Sector Policy incorporates a framework to expand the renewable energy infrastructure that is based on fuel that is free and self-renewing: the sun, the wind, biomass, hydro, and geothermal, and gradually reduce the energy infrastructure that depends on fuel that continuously rises in price, is dirty, dangerous, causes global warming, and destroys the habitat of this planet.  The government will encourage deploying green technologies in a range of sectors including energy and enact policies for clean energy development for low carbon economy.  
3. Community Based Renewable Energy Development:The Energy Sector Policy places special emphasis on community – based renewable energy development projects in the remote areas of the country to help expand the rural development program, and to provide livelihood opportunities to the rural poor. Provision of community-level energy infrastructure development activities, with special provisions for women participation, is also intended to help improve children education, health, clean water supply, and reduce exposure to indoor air pollution, as well as overall rural environmental improvement. 
4. International Environmental Obligations:  Myanmar has made international commitments under the United Nations Framework Convention on Climate Change (UNFCCC) and the related Kyoto Protocol, which Myanmar ratified in 2003. The Government is fully aware that without adequate environmental and social safeguards, climate change mitigation and adaption policies, and energy efficiency regulations, Myanmar’s energy and electric power sectors will continue to be vulnerable to environmental challenges. 
5. Integration of Social and Environmental considerations in Energy Planning:TheEnergy SectorPolicy aimsto integrate the social and environmental considerations in the national energy planning and in the complete cycle of energy development. 

4.1.1.1 National Energy Sector Policies 

Based on the above objectives, the following nine (9) National Energy Sector Policies have been included: 

1. To implement short term and long term comprehensive energy development plan based on systematically investigated data on the potential energy resources which are feasible and can be practically exploited, considering minimum impact on natural environment and social environment 
2. To institute laws, rules and regulations in order to promote private sector participation and  to privatize (100% FDI, Joint FDI, International IPP, local IPP/SPP/VSPP) State Energy Organizations in line with State Economic Reform Policy 
3. To compile systematic statistics on domestic demand and supply of various  different kinds of energy resources of Myanmar  
4. To implement programs by which local population could proportionally enjoy the benefit of energy reserve discovered in the areas 
5. To implement programs on a wider scale, utilizing renewable energy resources such as wind, solar, hydro, geothermal and bio-energy for the sustainable energy development in Myanmar 
6. To promote Energy Efficiency and Energy Conservation  
7. To establish R,D,D&D  (Research, Development, Design, and Dissemination) Institution in order to keep abreast with international practices in energy resources exploration and development  works and to produce international quality products in order to manufacture quality products  and in order to conduct energy resources exploration works in accordance with international standard 
8. To promote international collaboration in energy matters 
9. To formulate appropriate policy for energy product pricing meeting economic security of energy producers and energy consumers 

In relation to Energy Efficiency and Energy Conservation (Policy No: 6), the objective and work plan proposed include the following: 

(a) Objective 

To implement on a priority basis the energy efficiency and conservation program in accordance with ASEAN targets  

            (b)       Work Program 

(i)            Institute relevant laws, rules, and regulations (legal framework) required for implementation of energy efficiency and conservation program 

(ii)           Institute a dedicated department responsible for implementation of energy efficiency and conservation programs 

(iii)          Capacity building programs and awareness raising campaign are to be conducted to promote energy efficiency and conservation work

4.1.2 Other Related Policies

In terms of energy policy framework there are five main regulations: Electricity Act 1948 (amended in 1967); Myanmar Electricity Law (1984) (Amended in 2014); Electricity Rules (1985); The Petroleum Act (1934) and Petroleum Rules 1937 (amended in 1946); and the Mining Law (1994).  All these are relatively out dated in terms of inclusion of energy efficiency regulations and there is no proper roadmap for energy efficiency. Major revisions to the Mining Law are planned to meet international standards while giving more opportunities for Myanmar companies to be engaged in the sector. 

An Environmental Protection Law has just been promulgated. Under the law, a new Environmental Conservation Department is proposed, which will be responsible for environmental and social safeguards requirements. The law was promulgated in March 2012, but the regulations have not yet been approved.  When approved an Environmental Impact Assessment Rule will be mandatory, requiring environmental and social impact reports for all major projects.  

The development of Myanmar’s climate change policy is under the responsibility of the National Environmental Conservation Department established in September 2013. Although Myanmar still lacks a national strategy and action plan for mitigating and adapting to climate change, several ministries are implementing sector-specific initiatives relevant to climate change. 

4.2     Proposed Work Program for EE&C under the Energy Policy 

4.2.1 Required Legal and Regulatory Frameworks to Support EE&C 

The following legal and regulatory frameworks to support development and implementation of national EE policies should be considered by the Government of Myanmar: 

1. Legal authority for the National Standards Body in MOI to promulgate compulsory standards and coordinate with other relevant agencies to enforce and integrate those compulsory standards into ministerial regulations issued by other Ministries. 
2. Legal authority for the MOI to impose requirements for compilation and reporting of energy consumption by large energy consumers. Other requirements to be considered include appointment of a trained energy manager for a large facility, to monitor and report energy use within the facility, and to submit energy efficiency improvement plans.   
3. Legal authority for the MOI to enforce Minimum Energy Performance Standards (MEPS) for selected electrical appliances and Energy Efficient Building Codes. 

4.2.2 Dedicated Department of EE&C Implementation 

The National Energy Policy has proposed the establishment of a new Directorate for Energy Efficiency Improvement and Conservation Program.  The rationale is to ensure the highest level of focus on demand side activity and an entity that has the authority to plan and monitor implementation. In response, an Energy Efficiency & Conservation Division (EECD) was set up under the Directorate of Industry effective from 1 April 2014. 

4.2.3 Capacity Building and Awareness Programs 

The EE&C Policy would include a capacity building and awareness program covering all agencies and energy end-users. 

4.3     Vision Statement 

The National Energy Policy aims to “systematically explore the available indigenous energy resources in order to supply the domestic demand and export as value added products for surplus resources with the ultimate aim of sustainably improving the living standards of people in the country”.  By 

means of this policy the Government of Myanmar (GoM) is aiming to: 

• Ensure energy securityfor the sustainable economic development in the country; 
• Provide affordable and reliable energy supplyto all categories of customers, especially those living in remote areas that are currently without electricity; 
• Achieve the government’s overarching objective of poverty reduction and improve the quality of life of its people; 
• Increase foreign exchange earnings through energy exports after meeting the national demand. 

These visions can only be achieved through efficient and sustainable use of the available energy resources. EE&C will play a critical role in addressing energy security, environmental and economic challenges facing Myanmar.  The current electrification rate is around 27% and plans are in place for an ambitious electrification plan with a target of 45% by 2020 and 80% by 2030.  Hence, controlling the national demand for energy resources in order to increase foreign exchange earnings through exports is one of the key challenges that could be addressed through EE&C. 

According to available data, Biomass (firewood/charcoal) accounted for 65% of the total energy consumption in 2012 which is primarily consumed by the rural sector (around 70% of the population).  Hence, the adoption of efficient technologies especially in cooking would make a significant contribution towards providing affordable and reliable energy supply to those living in rural areas and thus improving quality of life. 

Currently, there is a shortfall in electricity generation during the dry season of around 500 MW resulting in load shedding,  Hence, the adoption of demand side management (DSM) strategies and programs in all customer sectors would go a long way of addressing this shortfall and ensure reliable supply throughout the year. 

The current market penetration of EE products and appliances (lighting, air conditioning, refrigerators and other home appliances) is very low.  There is potential for significant energy savings through the introduction of Minimum Energy Performance Standards (MEPS) and Energy Labelling schemes similar to most countries in the region (Thailand, Malaysia, India, Philippines, Vietnam and Sri Lanka). 

Biomass (fuelwood) is the primary energy source for cooking and there is potential for market transformation to fuel efficient stoves (FES) by addressing the initial cost barriers. There are several case studies on FES in Asia and South America.  In addition, the options for fuel switching from fuelwood to LPG for cooking could also be considered.  Although LPG is not a EE measure but it is a more efficient use of Myanmar’s natural resources and also lower GHG emissions than the use of biomass. 

There is a very low penetration of solar home systems (SHS) and as a result various forms of energy are used for lighting. Lead acid batteries are widely used in rural households which are mostly charged by roadside vendors using a solar panel or generator.  Wider use of SHS and micro-hydropower could be considered as a part of the rural electrification program where on-grid connection is unfeasible. 

Initial observations in the commercial sector (office buildings, hotels etc) show a high usage of inefficient fluorescent lighting and electric hot water systems. Case studies from countries in the region show that significant savings could be achieved through the use of high efficiency fluorescent lighting and solar hot water (SHW) systems. 

The potential for energy saving in the industrial sector can only be determined once information of current industrial processes are available.  Recent energy audits conducted in the Steel, Cement, Brick and Ceramic sectors in Vietnam have identified several EE process technologies that could be applicable in Myanmar.

4.3.1 Core Values of Energy Efficiency  

Energy Efficiency can contribute to the sustainable economic and social development in Myanmar; and also, meeting its international environmental obligations.  These include: 

• The economic values of EE includes increased competitiveness of Myanmar’s industrial sector through the adoption of efficient technologies resulting in lower unit costs of production; hence, increase in turnover and lower prices for end-users. 
• The social values of EE includes improved living standards of consumers through the availability of affordable and reliable energy services following adoption of EE technologies across the whole spectrum of end-uses such as lighting, air conditioning, refrigeration and cooking. 
• The environmental values include the reduction of greenhouse gas (GHG) emission from power plants, industrial processes and biomass use in residential and industrial sectors.  In addition, efficient use of biomass contributes to the preservation of indigenous natural forest resources of Myanmar. 

4.4     Goals and Objectives 

4.4.1 National Energy Saving Potential 

In the Business as Usual (BAU) case, the primary energy demand in Myanmar is projected to increase from 14 Mtoe in 2010 to 30.3 Mtoe in 2035, growing at an annual rate of 3.1%^[1].  The corresponding per capita energy demand will increase from 0.29 toe in 2010 to 0.55 toe per person in 2035.  In an alternative case (assuming use of advanced technologies by the end-uses, introduction of new and renewable energy (NRE) and nuclear power plants), the primary energy demand is projected to increase at an annual rate of 3.0% through to 2035 and the corresponding primary energy demand will reach 29.2 Mtoe which is 3.8% lower than the BAU case. 

The initial target for EE set by MOE was the reduction of 5% of the total energy consumption (2005 level) by 2015 and 8% by 2020. The basis for these targets was in line with those set by ASEAN; and the draft National Energy Policy has not defined any targets for EE.  However, the energy policy framework is aimed at the following: 

• Maintaining the status of energy independence 
• Promotion of wider use of new and renewable sources of energy, 
• Promotion of Energy Efficiency & Conservation (EE&C); and 
• Promotion of the use of alternate fuels for households 

The energy consumption figures for 2012 (Table 2.2) show that biomass (firewood/charcoal) accounted for 65.2% (9,708 ktoe) of the total consumption.  The other contributors were petroleum products 13.0% (1,942 ktoe), hydroelectricity 16.4% (2,440 ktoe), natural gas 3.5% (519 ktoe) and coal 1.9% (285 ktoe).  It should be noted that the energy consumption figures include transport and the EE options in this sector is not included in the EE Policy.  Hence, in determining the EE Policy targets two end-use sectors, namely electricity and biomass, are considered. 

Based on the analysis conducted in all sectors, a realistic EE target would be 12% of total energy (electricity) consumption by 2020 with 2012 as the baseline (similar to the baseline used in the Energy Master Plan); and targets of 16% and 20% by 2025 and 2030 respectively.   

It should be noted that obtaining baseline energy consumption was a difficult task and the estimation of energy saving potential in some sectors were based on international best practices (particularly in the region); and to enable proper energy planning an Energy Use Database has been included as one of the short-term activities in the roadmap. 

Based on an emission factor of 0.256 kg CO₂/kWh the overall reduction of CO2 emissions in 2020 will be 78,690 tons. 

4.4.2 Overall Policy Goal for Energy Efficiency 

Based on the calculated energy saving potential the National Energy Efficiency Policy objective using 2012 as the baseline is as follows: 

Reduce that national electricity demand by 12% in 2020 compared to the baseline demand in 2012  

• Reduce the biomass consumption by 2.3% in 2020 compared to the baseline biomass demand in 2012. 
• Reduce national CO2 emissions by 78,690 tons in 2020. 

To reach the overall energy efficiency objective, the Alternative Case outlined in the Myanmar Energy Outlook (2013) was adjusted by the results of the assumed energy efficiency in the following sectors identified as priority areas for the national EE policy, strategy and action plan: 

• Energy Efficiency in Industry 
• Energy Efficiency in Commercial Sector 
• Energy Efficiency in Residential Sector (Urban and Rural) 
• Energy Efficiency in Public Sector 

In determining the priority areas the transport sector has been excluded as it would be the subject of a separate assessment.  Considering the high rural electrification targets (45% by 2020 and 80% by 2030) the electricity demand is set to increase from 1,806 MW (2011) to 19,216 MW (2030) and the corresponding generation from 10,444 GWh (2011) to 111,100 (2030). Hence, an effective DSM strategy in the electricity sector including the use of renewable technologies should be considered.  It is expected that the high use of biomass (fuelwood/charcoal) is expected to continue in the residential sector.  However, conversion of LPG for cooking especially in the urban sector is an option to be considered in an overall EE strategy. 

4.5     Strategic Objectives 

The strategic objectives for the implementation of the national EE Policy are outlined in the National Energy Efficiency Strategy (Section 5) considering the economic, social and technology rationales and define specific goals for each sector. 

4.6     Monitoring and Evaluation 

Monitoring and Evaluation (M&E) of the implementation process is critical in determining if the goals set out in the National EE Policy are being achieved.  A procedure for M&E is outlined in the National EE Strategy and Roadmap. 

5 PROPOSED ENERGYEFFICIENCY ROADMAP

5.1     Background 

This EE Roadmap outlines the activities to be undertaken in each of priority sectors in conjunction with the strategic objectives of the national EE policy.  These activities compliments the common activities (cross-cutting activities) identified as described in Section 5.4. 

The activities in the roadmap need to be prioritized and carried out over an initial timeframe of 5 years.  The timeframe could be revised annually based on progress and budget availability. 

5.2     Proposed Activities by Sector 

The following matrix provides a list of activities that could be undertaken under each strategic objective for the particular sector. 

Sector:       Industry Sector 

Sector:       Commercial Sector 

Sector:       Residential Sector 

Sector:       Public Sector 

5.3     Common Activities 

The EECD will be responsible for the implementation of several common activities across the identified priority sectors that would ensure a sustainable approach to EE implementation in Myanmar.  These activities include the following: 

1. Energy data collection and analysis 
2. Energy Efficiency awareness and education 
3. Monitoring & Evaluation 
4. Develop Energy Efficiency standards for Buildings and Appliances 
5. Accreditation scheme for Energy Auditors and Energy Managers 
6. Regional cooperation and networking 
7. Develop Legal and Financial Framework for Energy Efficiency