THE CLEAN ENERGY MINISTERIALAccelerating the Global Transition to Clean Energy

Rick DukeDeputy Assistant Secretary for Climate Policy

U.S. Department of Energy

SE for All Meeting of Sherpas and Technical Group19 November 2011

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OVERVIEW

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>90% of Global Clean Energy Investment > 80% of Global GHG Emissions

Australia Denmark

Italy

South Africa

European Commission

France

Korea

Spain

Brazil

Germany

Mexico

United Arab Emirates

China

Indonesia

Russia

United States

Canada

India

Norway

United Kingdom

Japan

Sweden

Finland Hungary

Ministers and other high-level representatives from 24 governments convened for the Clean Energy Ministerial in Washington in July 2010 and in Abu Dhabi in April 2011 to collaborate on policies and programs that accelerate the global transition to clean energy technologies

CORE PRINCIPLES

• “Deliverables” are concrete and transformative clean energy initiatives led by like-minded and willing governments

• No expectation that each government participates in all initiatives

• No communiqué or other negotiated text

• Distributed leadership model

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GOALS

• Make substantive progress on the 11 CEM initiatives, which have the potential to:

– Avoid the need to build more than 500 mid-sized power plants in the next 20 years

– Bring improved energy services to more than 10 million people without access to electricity by 2015

– Promote rapid deployment of renewable energy, carbon capture and storage, and electric vehicles

– Help encourage women to pursue careers in clean energy

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MEETINGS

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Upcoming Ministerials

CEM3 – April 2012, London, UKCEM4 – 2013, Delhi, IndiaCEM5 – 2014, Seoul, Korea

Meetings are opportunities to assess progress, engage the private sector and the public, and guide work under the initiatives

INITIATIVES LAUNCHED IN JULY 2010

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I. Energy Efficiency• Appliances• Smart Grid• Buildings and Industry• Electric Vehicles

II. Clean Energy Supply• Solar and Wind• Carbon Capture, Use &

Storage• Hydropower• Bioenergy

III. Cross-Cutting• Clean Energy Solutions

Center• Off-Grid Lighting• Women in Clean

Energy

LARGE POTENTIAL MARKET FOR MODERN OFF-GRID LIGHTING• 1.4 billion people lack access to

grid electricity

– 96% in Africa and Asia

– Many cannot afford higher-cost alternatives to grid electricity

-- Page 7 --PRE-DECISIONAL DRAFT

0

400

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Unelectrified Population by Region (2009)

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OFF-GRID LIGHTING: SOLAR AND LED ENERGY ACCESS PROGRAM (SLED)• Goal to transform the global market for off-grid lighting by replacing dirty kerosene

lanterns with solar-powered LEDs

• Implemented by IFC in collaboration with the U.S. Department of Energy

• Since CEM joined forces with existing World Bank Group Lighting Africa initiative:

– Regional coverage expanded from 6 countries in Africa to include Asia

– Cumulative sales target increased from 2.5 million to 10 million Photo by Evan Mills

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From… To…

Photo by Evan Mills Photo by Peter Alstone

And Even…

Many emerging LED lampsinclude mobile phone charging

PRE-DECISIONAL DRAFT

10 100 1000$100.00

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$10,000.00

U.S. Cumulative Refrigerator Shipments (millions)

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Pre-Standards1947-1978

Historical Standards1978-2010

The shaded area represents savings: ~$20 billion per year in 2010 & $300 billion cumulative since 1978.

Source: Data from US Bureau of Labor Statistics, US DOE, AHAM Factbooks and Rosenfeld (1999)

MINIMUM PERFORMANCE STANDARDS CAN LEAD TO A SIGNIFICANT DECLINE IN LIFECYCLE COSTS

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ONLY A FRACTION OF THE POTENTIAL FROM MINIMUM PERFORMANCE STANDARDS IS CAPTURED CURRENTLY

Cooperation among SEAD partners’ national standard-setting bodies could save by 2030:• 1,800 terawatt hours per year of electricity = as much as would be

produced by 600 five-hundred megawatt power plants• US$150 billion per year of net energy-related expenditures Leads to

significant energy savings for households (e.g., Existing standards in the U.S. save an average of $285 per household per year )

APPLIANCES: SUPER-EFFICIENT EQUIPMENT AND APPLIANCE DEPLOYMENT INITIATIVE (SEAD)

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SEAD aims to coordinate policy for efficient appliances and equipment

• Regular and ongoing contact between partner governments’ standard-setting experts enables greater coverage of product categories at lower public cost

• Harmonizing test procedures reduces trade barriers for efficient products and facilitates comparisons of efficiency programs

• For globally-traded products, coordination of measures such as incentives, procurement, and awards magnifies market transformation benefits

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Energy-Sector GHG Abatement Cost Curve for CEM Countries in 2030

APPLIANCE AND EQUIPMENT EFFICIENCY PRESENTS A LARGE OPPORTUNITY

CLEAN ENERGY SOLUTIONS CENTER

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• Track and share policies, public investment trends, and outcomes

• Identify best practices for clean energy policy and program development

• Engage stakeholders in dialogue about policy and public investment opportunities

• Provide virtual training, including videos and webinars

• Build a user network of policy makers and technical experts

www.cleanenergyministerial.orgwww.superefficient.org

www.cleanenergysolutions.org

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