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Pacific Islands Greenhouse Gas Abatement through Renewable Energy Project (PIGGAREP) - Solomon Islands Interventions

Background

The Solomon Islands consists of nearly 1,000 islands – 350 populated – with 28 thousand km 2 of land spread over 0.8 million km 2 of sea. There are the six main islands: Guadalcanal, Malaita, Makira, Santa Isabel, Choiseul and New Georgia.

The country is relatively rich in mineral, hydro and forest resources.

From 1986-1999, the population grew 2.8% annually reaching 457,000 in 2003.

The economy consists of a mixed subsistence sector on which the majority of the population is dependent, and a small monetised sector dominated by large-scale commercial enterprises. Between 1996 and 2002, gross domestic product declined in real terms by 24%, over 35% per capita. Performance was considerably worse for the monetised sector. In 2003, GDP grew by 3.8%, nearly equalling the 1992 level.

Baselines

The Solomon Islands is overwhelmingly dependent on imported petroleum for its commercial energy needs but biomass still accounts for about 61% of gross national energy production, petroleum products for 38%, and hydropower and solar about 1%. Imports of petroleum fuel have increased less than 2% annually by volume since 1990 but constitute a fairly high percentage of total imports by value, higher than the early 1980s when high oil prices were of concern to the government.

There are no reliable data on sectoral energy demand. The PIREP mission estimates 2001/2002 petroleum demand of 78 million litres (ML) or 68 kilotonnes of oil equivalent (ktoe), with transport accounting for 56%, electricity 28%, commerce and industry 15% and direct household use (mostly cooking and lighting) 1%. About 89% of all households rely mainly on biomass for cooking. Fuel wood burning probably totals about 110 ktoe, with additional biomass used for copra and cocoa drying.

The 1999 census reports indicates that 16% of all households, but only 9% of those outside Honiara, had access to electricity. 69% received power from SIEA, 28% generated their own power, and 23% had other sources.

To estimate future commercial energy demand, it is assumed that population increases 2.8% per year (3.8% in Honiara), GDP grows 3-4% per year, and – assuming no major investments in renewable energy or energy efficiency – petroleum imports grow 4% annually, except distillate for electricity use at 5.2%. With these assumptions, greenhouse gas (GHG) emissions from commercial energy would increase from 206 Gg in 2001/02 to 313 Gg a decade later, a 52% increase.

In principle, the Solomon Islands could reduce emissions by 122 Gg per year within a decade, nearly 60% of current emissions and 40% of those a decade from now. This is based on proven technologies and known resources but does not consider economic, financial, political, social, technical, environmental or other practical constraints. About 90% of potential reductions would be from renewable energy (mostly biofuels and from hydro) and 10% from improved energy efficiency. Large-scale solar PV and wind combined would account for less than 4%.

The PIGGAREP Support

The PIGGAREP activities identified for the Solomon Is will build on 2 key initiatives: (1) Pacific Islands Cooperation Programme with the Government of Italy , (2) Energy Division's Renewable Energy Activities and (3) SIVEC's RE Development Activities

Pacific Islands Cooperation Programme with the Government of Italy

The communiqué has been signed. Proposals were developed and submitted. The proposals to the Italian government are for the electrification of schools and clinics/area health centres located in the rural areas that have no connection to the national grid right throughout Solomon Islands.

Energy Division's Renewable Energy Activities

Details are t o be supplied

SIVEC's RE Development Activities

Details are t o be supplied