Regional E-mobility and Battery Storage Programmatic Technical Assistance (TA) for Pacific Island Countries and Territories
Basic Information
Grant ID: K-135
Region: East Asia & Pacific
Country: Pacific Island Countries and Territories
Approval Year: 2019
Grant Year: Year 7
Amount Approved by Donor: $300000.00
Main Product Line: Lending
Sector: Energy
Grant start/completion: December 12, 2019~June 30, 2022 (Anticipated)
Grant Status: Closed
TTLs: Leopold Sedogo (Senior Energy Specialist)
Grant Activities
Project Summary:
The objective of this grant is to support the design of a regional Electric Vehicle (EV) and Energy Storage System (ESS) deployment roadmap in Pacific Power Association (PPA). The Pacific Island Countries (PICs) comprise of 10 states with a total population around 2.3 million. This population is scattered over an area equivalent to 15 percent of the globe’s surface. The PICs have open, but narrowly based economies and limited institutional capacity. The major issues that PICs face in relation to the power sector include high dependency on costly imported fuels (expenditures account for 10 to 25% of GDP), a lack of adequate capacity and reliable data for energy planning and management as well as a lack of sources to finance battery storage and other facilities that can properly absorb renewable energy in isolated island territories. This activity will focus on cooperation with the the Pacific Power Association (PPA), the key regional organization that provides support to power utilities in PICs and supports PPA’s efforts aimed at delivering a long-term strategy that will address the energy sector challenges. This will include the deployment of EVs and ESS. The PPA, as a focal point of the proposed activity, also intends to initiate a programmatic regional approach to scale up EVs and ESS with the World Bank. The activity will include a component on institutional capacity to ensure not only proper implementation of e-mobility, but also general battery storage management. This project will also promote increased resilience, focusing on making cities and transport systems more robust, while facing risks arising from past development mistakes and a changing climate. The Korean experience and strong example of EV and ESS deployment on islands (for example Jeju, the biggest island in Korea), will also be considered.
This grant is linked to Lending ($5,660,000).
List of Activities:
- Design regional EVs policy framework and Technical Guidelines
- Assessment of battery storage applications in the PICs
- Support for PPA’s regional framework to scale-up EV and EES
Outcomes:
Output 1:
- Recommendation report
Output 2:
- Study report on battery storage in regional power system
Output 3:
- Inform strategy to strengthen capacity towards achieving long term sustainability of the operation
Outcomes:
- Improved efficiency:
- This activity will generate knowledge and allow to advance on the learning curve in e-mobility implementation. The institutional support will prevent inefficiencies in the system management by preventing capacity gaps and improper coordination mechanisms. The pilot of Electric Vehicles in the RMI has been initiated and provides feedback data that will inform the PICs strategy and pave the way to achieve efficiencies in fuel consumption and maintenance costs. The objective of this pilot is to assist the Government of the RMI (GoRMI) to establish a policy framework and technical guidelines for EVs deployment; test a small driving system of EVs for public use identify potential investments that could be implemented from 2020 to 2025 under the Sustainable Energy Development Project (SEDeP) phase 2.
- Also, this activity will provide strategies in the efficient usage of the resources on battery storage and improving the reliability of the system thereby improving efficiency of the grid. It can eventually help create a framework to not only finance battery storage related projects but also expedite lending projects that relate to system reinforcement. The decision makers would get more insight and solutions to how to effectively plan and implement plans and policies to promote optimal and reliable electricity supply at an accessible cost.
- Greater resilience:
- A hierarchically integrated multimodal transport system is more accessible and responsive to user demands, the overall resilience of the transport network will remain
- Study of specific cases where the battery storage systems would be effective and providing feasible solutions for alleviating system issues would provide the basis for developing the strategies for strengthening the grid for a more sustainable growth.
- Increased competitiveness:
- The Korean experience show a good example of EV and ESS deployment in islands. Jeju, the biggest island in Korea is a natural fit for EVs. It is a relatively small, oval-shaped island where drivers can travel along the 180 kilometers of coastal roads. A fully charged electric car can travel between 100 to 150 kilometers. Until 2020, the Jeju government is providing subsidies to EV buyers of up to $21,800 per car plus an additional $6,700 and tax incentives. Jeju province has invested $12.5 million to help a small island of Gapa become carbon-free. Along with two 250 kW wind turbines which cost $8.6 million, 174kW solar panels were installed in 49 households in May 2017. The Jeju provincial government subsidized the installation of solar panels on houses—residents pay only 10% of the total approximate cost of $12,000. Other installations include an energy storage device, a system control center, power conversion equipment and remotely controlled power meters. The electricity produced in this way powers the households on the island, four electric cars and a desalination plant. From the private sector, the area received $88.6 million from Korea Electric Power Corporation (KEPCO), Korea Southern Power Company (KOSPO), Woojin Industrial Systems and Shin-Kobe Electric Machinery. As the project gained momentum, Gapa received an additional $1.25 million in funding from the national government for a 1 MWh lithium-ion battery and a 1 MW power converter.
- Technical recommendations for a structural reinforcement of the grid and scaling up of variable renewable energy in the energy matrix by providing more flexibility through battery storage would increase the overall competitiveness of the energy sector.
Collaboration with K-Partners and Others:
- Korea Electric Power Corporation (KEPCO)
- Jeju Province
- Seoul Metropolitan Government (SMG)
- Korea Transport Institute (KOTI)
- World Resources Institute (WRI)
- International Council on Clean Transportation (ICCT)
- C40 Cities Initiative
- Partnership on Sustainable Low Carbon Transport