ACWUA 2 nd International Conference and Exhibition New Prospects and Challenges for the Water Sector...

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ACWUA 2 nd International Conference and Exhibition New Prospects and Challenges for the Water Sector in the Arab Region January 27 - 29, 2013 Amman, Jordan “Engineering Projects in the Water Sector: a Low Carbon Development Perspective” Jihad Abu Jamous / Shada El-Sharif – Arabtech Jardaneh Theme 3: Water Science for Policy and Governance Beyond MDGs: Water Resources and the Green Economy

Transcript of ACWUA 2 nd International Conference and Exhibition New Prospects and Challenges for the Water Sector...

ACWUA 2nd International Conference and ExhibitionNew Prospects and Challenges for the Water

Sector in the Arab RegionJanuary 27 - 29, 2013

Amman, Jordan

“Engineering Projects in the Water Sector: a Low Carbon Development Perspective”

Jihad Abu Jamous / Shada El-Sharif – Arabtech Jardaneh

 

Theme 3: Water Science for Policy and GovernanceBeyond MDGs: Water Resources and the Green Economy Paradigm 

CLIMATE CHANGE? ENGINEERING?

“Climate change is a complex problem, which, although environmental in nature, has consequences for all spheres of existence on our planet. It either impacts 

on-- or is impacted by-- global issues, including poverty, economic development, population growth, 

sustainable development and resource management. It is not surprising, then, that 

solutions come from all disciplines and fields of research and development” , United Nations Framework Convention for Climate Change 

(UNFCCC)

OUTLINE

Trends in Low Carbon Development (Global, Regional)

Green Economy & the Water Sector: Jordanian perspective

New drivers for engineering projects NAMAs as a CC Project Framework Evolving Team Structures Case study: Jordan NAMA project Opportunities for the water sector

CLIMATE CHANGE & GLOBAL MILESTONES: RIO – JUNE 2012

RIO + 20 UN Conference on Sustainable Development. Key themes: Green Economy, Sustainable Development, Poverty Eradication, Institutional Frameworks

Biggest UN Conference ever held, over 188 counties and 100 heads of state  represented

More than $513 billion in commitments for SD in energy, transport, green economy, disaster reduction, desertification, water, forests and agriculture

692 voluntary commitments for SD by governments, businesses, NGOs and academia

RIO – JUNE 2012

“We emphasize that green economy should contribute to eradicating poverty as well as sustained economic 

growth, enhancing social inclusion, improving human welfare and creating opportunities for employment and decent work for all, while 

maintaining the healthy functioning of the Earth’s ecosystems”

Draft Resolution – RIO+20

CC & RECENT GLOBAL MILESTONES: COP 18 DOHA- DEC. 2012

Keeps the Kyoto Protocol alive• Launches a new commitment period (only countries 

who commit can use CDM/JI process)• Reviews the commitment in 2014

Establishes a timetable and milestone for 2015 Agreement

• Continuous the efforts to raise the level of ambition to close the mitigation gap (more global commitment needed for GHG reduction)

CC & RECENT GLOBAL MILESTONES: COP 18 DOHA- DEC. 2012

Long term financing: • Fast Start Financing to reach US$100bn by 2020• $8.5bn in new financing pledged (UK, Germany, 

France, Denmark, Sweden and EU Commission)

Green Climate Fund (GCF):• Confirming Songdo, South Korea, to host GCF

CC: OTHER MILESTONES

Copenhagen Accord: endorsed by 141 parties (2009), but not binding

Key elements formalized as UN decision in 2010 Cancun Agreements

Cancun Agreements: CC as global challenge, global warming should not exceed 2oC; Low Emissions Development Strategy (LEDS); Adaptation Framework

REGIONAL CONTEXT

International organizations active in CC initiatives in MENA:

European Neighbourhood Partnership Instrument(ENPI); Clima South (knowledge sharing, capacity building, policy)

EU-UNDP Low Emission Capacity Building Program (LECBP) Mediterranean Strategy for Sustainable Development 

(UNEP/MAP)  UNEP-Sustainable Buildings and Construction Initiative (SBCI) 

– FIDIC  AFED Green Economy Report for the Arab World - 2011 Arab Sustainability Leadership Group (ASLG) – Queen Rania 

Initiative World Future energy Summit 2013 (annual) - Masdar Growing number of policies / strategies by countries of the 

region (e.g. National Energy Efficiency Action Plans)

JORDAN CONTEXT: THE OPPORTUNITIES Adaptation frameworks (health, water, energy, agriculture, 

education) UN and line ministries Mitigation actions (Kyoto, GHG reporting, active MoE, CDM, 

preliminary NAMA list) NEEDs: proposed financing for adaptation projects in water sector & 

other mitigation projects Strong technical capabilities (> 100,000 engineers, 1:83) Green Economy Study; RE and EE Law; new building and plumbing 

codes; W/E strategy Organizations with a “green” agenda: the Jordan Green Building 

Council, Jordan Engineers Association, A/E Business Council, Royal Scientific Society, ministries

Numerous donor funded programs (EU, USAID, AFD, WB, KfW, GIZ ...etc)

Samra STP: case study for smart energy concept / CDM potential / successful PPP

EVOLVING PROJECT CONSIDERATIONS

Climate Change Adaptation driven projects:• Coastal engineering (sea level rise)• Watershed management / flood assessments (flood risk)• Water resource management (changing T, R)• Emergency response systems (natural disasters)• Healthcare facilities (health risks)• Sustainable design in building and infrastructure 

(adaptation to dwindling resources)• Water demand management / new supplies, water loss 

reduction, wastewater reuse (e.g. Jordan water strategy)• Most vulnerable countries (ME: water scarcity, climate-

sensitive agriculture, coastal populations, conflicts)

EVOLVING PROJECT CONSIDERATIONS

Climate Change Mitigation driven projects:•  Energy efficient design (reduce fossil fuel consumption / 

GHG emissions)• Renewable energy projects (clean energy: solar, wind, 

biomass)  e.g. Samra biogas/hydropower aspects• Sustainable infrastructure (public transportation, energy 

efficient water pumping)• Landfill gas capture and energy production• Agriculture and forests• Carbon Storage and Sequestration• Fuel switch projects

THE OVERLAP: NATIONAL PRIORITIES / CC CONTEXT

National PrioritiesClimate Change Adaptation / Mitigation

NAMAS: AS CC PROJECT CONTEXT Nationally Appropriate Mitigation Actions:

• Originated from the Bali Action Plan in 2007, supported in COP17 2011

• Nationally appropriate mitigation actions by developing country parties in the context of SD, supported and enabled by technology, financing and capacity building in a measureable, reportable and verifiable manner (MRV)

Support seeking NAMAs

International Support

NAMA Registry

• Flexible concept, can be laws , policies, projects  countries can lead in shaping them

NAMA MAJOR OBJECTIVES

Source: NAMA project Consultant team

CASE STUDY: JORDAN NAMA Jordan among the first countries globally to submit a 

preliminary list of NAMAs to UNFCCC secretariat GoJ requested technical and financial assistance in 

further developing and prioritizing its NAMAs World Bank / PPIAF funded technical assistance project• Long list of NAMAs  short list• Focus on key infrastructure sectors (water, waste, energy 

transport)• Potential for private sector participation (PSP)• Green House Gas reduction potential• Alignment with national priories • Scalability / relplicability in Jordan and the region• Climate finance potential• Pre-feasibility for pilot NAMA

JORDAN CONTEXT: THE CHALLENGES

6.5 million growing  population (transient populations)

Resource poor / developing economy:

• Water scarcity• Frail state of energy security• Weak public transportation 

system• Overstretched waste 

management systems (strategy needed)

• Rising utility prices

PROJECT KEY PLAYERS

Project Direction / Funding

World Bank / Carbon Finance Assist

Beneficiary: Government of Jordan

Focal Point: Ministry of

Environment

Consultant Team

Banking / Financial

EVOLVING TEAM STRUCTURES

Engineers (transport, waste, energy, water)Legal / policyEconomists / bankersPPP expertiseClimate changeCapacity building 

Multi-cultural / lingual

Lead consultants: SDA (Argentine) and URS (UK)Consultants on the ground: AJ (Jordan) and Eversheds (Jordan)Developing / developed country experience

Multistakeholder

KEY PROJECT COMPONENTSLiterature Review (national communications, sectoral analysis, int’l context)

Data Collection / Analysis for  NAMA long list (matrix, questionnaire, interviews)  / regulatory overview

First short list: size, policy, replicability, GHG potential, Climate Finance, PSP,  national priority

First regional workshop: participatory approach to identify pilot NAMA 

 IWWTP

Pre-feasibility study for selected NAMA (technical and financial analysis)  Final Workshop

JORDAN NAMA: PROJECT LANDSCAPE

Selection of Pilot NAMA: Industrial Wastewater Treatment

Plant

Short List: 5 projects

Final Long list• 20 

projects• Minus 

CDM

Long List: • 51 projects• CDM 

included• 4 sectors

Source: NAMA project Consultant team

IWWTP DESIGN APPROACH: PILOT NAMA CONTEXT

• Water conservation / ww reuse• Energy efficiency / minimize GHG emissions• Environmental protection and social considerations• Minimize sludge and maximize biogas•  Revenue streams (water and energy sales)• Public and private sector interests • Climate finance potential • Sound technical design: 4 waste streams corresponding to effluent types, three stage treatment more adaptable

• Finance mix: industries, banks, public (land), carbon finance• Regulatory / policy framework

TYPICAL IWWTP DESIGN APPROACH

• Typically led by the public sector• Technical approach: mix different wastes in single process• Minimal treatment standard (reuse not always considered)• Sludge disposal• Business potential / private sector participation not explored

• Minimal environmental compliance• Social  / climate change adaptation / mitigation rarely considered

• More technically focussed; minimal consideration for issues of climate change, economy, private sector participation 

EVOLVING PROJECT CONSIDERATIONS

Wastewater Collection

• Quantity• Quality• Cost

Treatment Process

• Stages• Streams• Phys / chem / biological • Cost

•WW Collection fees• Potential private sector stakeholders•Environmental and social value

•Project company / investment opportunity• Technical / Economic considerations of treatment process• Capture resources (biogas, sludge, heat)

•Sales of TSE• Compost sales•Energy sales (biogas)•Biodiesel?•Environmental and social value

• Policy and legal framework (PPPs, water & environmental laws, wastewater standards)• Climate finance potential (CDM, GCF, Env Fund – policy/ project level)

• Public private interface  (strong national procurement: output based / SD considered)• Framework for replicability

• Feasibility

BARRIERS AND OPPORTUNITIES FOR CONSULTING ENGINEERS

Business opportunities: new markets  / countries / 

fundsRole in green growth

Unfamiliar conceptsLack of multidisciplinary / multi cultural experience

Learning curve

OPPORTUNITIES FOR THE WATER SECTOR Utilities and water companies can make use of growing international support for “green projects” in developing partnerships and accessing additional sources of finance

FIDIC defines Sustainable Infrastructure as that which is able to “deliver its service over its lifetime, efficiently and reliably,  and it needs to be adaptable and resilient to change and shock”

Projects that consider sustainability from inception  end of life:• Minimal reliance on non-renewable resources• Maximum benefit to the environment and society• Achieve economic prosperity• Ensure stakeholder buy-in• Have a long useful life

Improved Project Performance and 

Durability

RECOMMENDATIONS

Capacity building for the public and private sector on global / regional climate change developments and implications on emerging engineering project frameworks (focus on water sector)

Facilitate cross-cultural/ regional collaboration and networking (CC and Water are cross-border issues)

Climate change driven projects are complex and have country / region – specific considerations  innovations are needed. Approaches like NAMAs are great opportunities for innovation and finding “appropriate” solutions for each context