Page 17 - CenSES - Annual report 2012

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CenSES annual report 2012
17
Knowledge on the move: Planning, moni-
toring, and evaluation of Norwegian hydro-
power and petroleum foreign aid projects
since the 1980s.
Hilde Reinertsen is a PhD candidate at the Centre for
Technology, Innovation and Culture at the Univer-
sity of Oslo. She is currently investigating the efforts
to transfer Norwegian expertise and experiences
from the energy sector to developing countries
through foreign aid programs and private sector
investments. Norway’s experiences with governing
its hydropower and petroleum resources have long
been in demand with developing countries seek-
ing to exploit their natural resources for domestic
development and export revenues. Since the 1960s,
numerous Norwegian technical experts from both
the public and private sectors have contributed to
technology transfer and knowledge sharing across
the globe.
Meanwhile, the Norwegian aid administration (No-
rad) has faced increasing demands for accountabil-
ity and results from both Parliament, NGOs, the Of-
fice of the Auditor General, and the general public.
This need for understanding what works and not
in international development has spurred compre-
hensive systems and innovative methods for gain-
ing and using knowledge during all stages of an
energy aid project’s life cycle: Both environmental
impact assessments of the project; internal moni-
toring of its implementation; external evaluations
of its end results; and finally fostering change and
learning within the aid administration itself.
Western entrepreneurs in the emergent
East African renewable industry
RESolar was established by students connected to
NTNU School of Entrepreneurship and CenSES. The
company delivers solar cell power to East Africa to
replace diesel generators. After completing a mar-
ket study of many countries in the region, RESolar
has set up offices in Nairobi. The main challenges
for businesses in rural areas in Kenya are the lack
of electricity infrastructure and high-cost diesel for
generators. Those who have power from the grid
pay a high price during the day – 1,50 NOK/kWh.
RESolar offer reasonably-priced turnkey solar ener-
gy solutions. The tourism industry and other opera-
tions which wish to have a green profile are impor-
tant markets for solar energy. RESolar’s experience
is that East Africa is a growing market for renewable
energy.
didate Tyson Weaver from Sogn og Fjordane Uni-
versity College/NTNU has studied this topic and
looked closer at which factors motivate and hinder
Norwegian power producers in pursuing new pro-
jects outside of the Nordic markets.
The IEA estimates the world’s energy demand will
grow 49 % by 2035, with 80 % of this growth oc-
curring in the developing world. The Norwegian
government directly supports energy investments
abroad through Norfund and Norad. Survey results
show that every other Norwegian is in favor of Nor-
way helping developing countries develop renewa-
ble energy, both in terms of aid projects and private
developments for profit.
Among the factors that inhibit international invest-
ments is the internal competition for human and
financial resources as a result of the arrival of the
Norwegian-Swedish green certificates, especially
amongst the regional producers. A fear of damag-
ing public image is another factor, as critical envi-
ronmental organizations closely follow the com-
panies’ operations abroad. A lack of international
experience and comprehensive understanding of
the associated risks also function as barriers.
Motivational factors include attractive returns,
knowledge transfer amongst new and old engi-
neers, and abundant project level opportunities as
a result of growing energy demand and deregula-
tion.
Eleven Norwegian companies are invested in 53
hydropower projects in emerging markets spread
across four continents. One conclusion to draw
from the study is that the energy companies’ own-
ership structure is challenged as the companies get
increasingly involved outside their core markets.