Engaging The Diaspora Conference: Cluster Report Back

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Engaging The Diaspora ConferenceCluster Report
Back

• Economic Development Investment
• By
• Max Gomera and ShamisoMapanga

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Outline

• Energy
• ICT

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Significant findings and issues

• Zimbabwe has set an ambition of 5 GDP Growth
• Growth areas likely to be mining, tourism
  agriculture and manufacturing
• Growth from from at least two areas limited both
  in terms of the distributive aspects of the
  wealth and potential for driving development.
• Growth is limited by weak energy sector
• National power demand estimated at 2,000 to
  3,200MW
• Installed Capacity approximately 1,200MW
• Available generation capacity approximately
  1,000MW
• Effective deficit approximately 1,900MW
• With refurbishment of Hwange, Munyati, Harare and
  Kariba, available generation might reach 1,650MW
  by 2015

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Findings and Issues

• Economy largely dependant on Coal, Hydro and
  Imports for energy
• Climate change limits the potential for coal (in
  terms of securing investment and pressures on
  emissions)
• GRID sources have Limited Opportunity to power
  rural areas
• Economy is not liquid, less money for investment
• Where are the new areas for innovation?
• Renewable energy presents a development
  opportunity aimed at creating a new driver for
  economic growth new sources of employment and
  consistent solutions for the improvement of
  environmental quality based on the recognition of
  the interdependence of environment and economy

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Why renewable Energy

• Technological advances have made renewable energy
  a realistic option
• Price on Carbon making coal a less attractive
  investment option in the future
• Imports from neighboring countries uncertain as
  they face own internal demands
• Provides an opportunity for increased job
  opportunities, wealth and health opportunities
• Diaspora can make a contribution

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RecommendationConstructing the Agenda

• Use of Economic Instruments
• Feed In Tariffs for Renewable energy
• Creating a market for renewable energy and
  increasing the number of producers Rewarding
  green production and creating a green market
• Accessing Global Financing
• Clean Development Mechanism
• Reducing Emissions from Degradation and
  Deforestation
• Adaptation Funds
• Green Economy Credit Line
• Support to Small and Medium Enterprises from
  local and international financiers
• Stimulus money, loan guarantees, grant programs

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Constructing the Agenda

• State programs for sustainable energy use
• Reduced taxes for green technologies
• Develop policies to guide sustainable
  construction
• Challenge the assumption of connection to ZESA
• Solar Water Heaters?
• Support to local research capacities
• Tech innovation will allow for production cost
  reductions and installation cost reductions in
  the long run

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Kenya Feed-in Tariffs
FTI Aspects
Expected Benefits
ten-year power purchase agreement US Cents 6.0/
kWh

• Facilitate resource mobilization
• Reduce transaction costs
• Encourage private investors

Observed Impacts on Mumias Sugar Company
FTI Policy
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Opportunities and Role for Diaspora Involvement

• Zimbabwes energy investment profile developed
• Definition of Zimbabwes investment profile
• Collate baseline info on energy, assist in
  developing a long term investment profile and
  funding mobilisation
• Assisting to Mobilise Funding for Energy
  investment
• Most funding now in private hands, and often not
  publicly accountable
• Need for new brokering and a new paradigm shift
• Identification of global funding sources and
  articulation of how to access them (Clean Tech
  funds Foundations Pvt Sector)
• Defining instruments for Mobilisation of diaspora
  financial resources
• Brokering Partnerships
• Research and Development

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Recommendations

• Use of Economic Instruments
• Feed In Tariffs for Renewable energy
• Creating a market for renewable energy and
  increasing the number of producers Rewarding
  green production and creating a green market
• Accessing Global Financing
• Clean Development Mechanism
• Reducing Emissions from Degradation and
  Deforestation
• Adaptation Funds
• Green Economy Credit Line
• Support to Small and Medium Enterprises from
  local and international financiers
• Stimulus money, loan guarantees, grant
  programsState programs for sustainable energy use
• Reduced taxes for green technologies
• Develop policies to guide sustainable
  construction
• Challenge the assumption of connection to ZESA
• Solar Water Heaters?
• Support to local research capacities
• Tech innovation will allow for production cost
  reductions and installation cost reductions in
  the long run

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Summary of Programmes
Priority Areas Activities Actors/Partners Timelines Outputs Monitoring
Renewable sources of energy Pre-Feasibility study Various players led by Erika monitored by DFZ 3 Months ending 15 March 2011 Report with recommendations for feasibility study By Max Gomera DFZ
Engaging NGOs on funding greener energy Approach UN GEF and Cleaner Energy Funding Nokwazi Moyo and Ian Makone 1 month ending 15 Feb 2011 Funds for feasibility study DFZ Board
Facilitate Partnerships Identify and create strategic partnership Various participants 1 year Strategic and financial partnerships for identified projects Max, Nokwazi
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Engaging The Diaspora ConferenceCluster Report
Back

• Economic Development Investment
• (ICT )
• By
• Nigel Daura

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Significant Findings Issues Discussed

• ICT does not contribute meaningfully in GDP
• Low or no investment in ICT infrastructure in the
  past 5-10 years
• Serious skills flight resulted in skills shortage
• Conflict on the boundaries of the ICT
• High Internet tariffs
• Outdated regulatory framework
• Huge power deficit and outages
• Lack of Awareness , cyber crime
• Erratic mobile line connectivity 2 to 3 lines
  per person
• Long outstanding requests for landline
  applications
• Lack of Information for investors Websites
  presence very low

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Significant Findings Issues Discussed (cont.)

• Min of ICT setup March 2009
• ICT Readiness Survey 2006
• ICT Policy framework launched 2007
• ICT Bill currently being tabled
• Computer Society of Zimbabwe for ICT
  professionals
• Computer Suppliers Association of Zimbabwe for
  ICT players
• National Economic Consultative Forum (NECF) ICT
  Task Force
• Postal and Telecommunications Regulatory
  Authority of Zimbabwe (POTRAZ) was formed by an
  Act of Parliament Chapter 1205 of 2000
  currently residing in the ministry of telecomms

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Conclusions

• ICT cross cuts all sectors and is an enabler for
  economic development
• The fibre optic backbone is now in place
• We now need to consider projects that will make
  full use of the network and contribute to
  economic development
• An ICT Act of Parliament which resides under one
  Ministry

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Recommendations

• Development of government information sharing
  systems and websites
• Website that will enable us to interact with the
  Diaspora and maintain a database of available
  skills
• DFZ to facilitate the crafting of an ICT policy
  framework and best practice
• Raising ICT awareness
• Explore opportunities in the public sector ICT
  Parastatals
• (TelOne and Net One)

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Summary of Programmes
Priority Areas Activities Actors/Partners Timelines Outputs Monitoring
Increase ICT awareness DFZ ICT symposium, Workshops in Schools and government departments PMs office, DFZ, CSZ, Ministry of ICT Immediate - On-going A greater awareness of the role ICT plays in economic development PMs office, Ministry of ICT, CSZ
ICT policy framework Engage and consult with Diaspora on policy formulation and best practice PMs office, DFZ, Ministry of ICT and Diaspora, CSZ, Donors 6 months ICT Bill and best practice methodology PMs office Ministry of ICT, CSZ, DFZ
Information Sharing Website and database Development DFZ, Government Departments, Diaspora, Zinnovation 3 6 months Databases Websites, knowledge systems Ministry of ICT, CSZ, DFZ, Zinnovation