The Renewable Energy Industry in CARIFORUM Countries

COUNTRY INDICATOR ANALYSIS

Agreements support market mechanisms like the Clean Development Mechanism (CDM) which allows developed countries to purchase certified emission reduction credits from EE, RE and other projects in developing countries. This reduction in emissions contribute to sustainable development. The GCF is also a major funding agency for climate action projects having committed a portfolio with a budget of US$168.3M; US$86M for national projects and over US$82M for multi-country projects 5 . Country focal points are therefore encouraged to collaborate and develop climate projects together which deploy:

• New, clean technologies in various industries • Promote a cleaner environment • Reduce GHG emissions through conservation and energy efficiency

4.5.5 | MANUFACTURING While manufacturing equipment can be energy intensive, this sector across the Region is relatively small and includes a small number of MSMEs. The Commonwealth Caribbean has an average country contribution of around 7% of GDP, with Trinidad and Tobago having the most active manufacturing sector with 19% of GDP because of its successful petrochemical industry 6 . This is therefore not significant for most countries. However, it would be significant for the MSMEs who are in that sector. Nationally, the linkages are weak with little mention in national energy policy documents. Potential impact would therefore depend on the initiatives of the affected MSMEs to seek out experienced energy firms to assist with their RE and EE needs. Preliminary actions include: Projects tend to be broad-based and usually draw on high-level technical skills and various other skills around RE and EE technologies. This provides opportunities for RECs to collaborate. This is not currently common among RECs due to lack of opportunity and poor networking and may therefore be addressed regionally.

• Educating the firms in the manufacturing sector. • Reducing electricity tariffs to the manufacturing sector. • Providing manufacturing firms with access to RE and EE technologies.

The Renewable Energy Industry in CARIFORUM Countries 5 - GCF Portfolio for the Caribbean, 2020 6 - http://www.commonwealthofnations.org/sectors/business/industry_and_manufacturing/

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