World Bank Climate Finance Plan Little Help, Unfair — Global Issues

Khoo Wei Yang
  • Opinion by Jomo Kwame Sundaram, Khoo Wei Yang (kuala lumpur, malaysia)
  • Inter Press Service

Developing countries, especially in the tropics and sub-tropics, are the main victims of global warming today. Most need finance and other means to build resilience and to develop in the face of the climate crisis. But the rich have resisted major efforts to help developing nations better cope with the crisis.

Meanwhile, climate finance has become increasingly commercial, not concessional. After all, most international agreements tend to be poor compromises reflecting corporate and political power in the world. They fail to address the crisis, let alone advance climate justice.

Rich nations have fallen far behind on their $100 billion annual finance commitment for the 2009 Copenhagen climate conference. This modest commitment was supposed to increase significantly after 2020, but there have been no signs of progress, e.g., at French President Macron’s recent summit.

Instead of helping developing countries cope with more funds for adaptation, most available resources have been earmarked for mitigation. Finance for mitigation is over ten times more than the $56bn (8.4%) available for adaptation in 2020.

Meanwhile, official development assistance (ODA) has long fallen short of the promise of 0.7% of rich nations’ national incomes made over half a century ago. This fell further after the end of the first Cold War, over three decades ago, to barely 0.3%!

Meanwhile, the USA, the dominant World Bank (WB) shareholder, has blocked increasing WB capitalization, to avoid China gaining more influence with a greater capital share.

WB subsidizes private finance
The WB has revised its earlier failed ‘playbooks’ as global warming accelerates, with worsening consequences, especially for the global South. Its new plan – Evolving the World Bank Group’s Mission, Operations, and Resources – was issued in early 2023.

Eurodad warns, while it “seeks to incorporate climate considerations, the Roadmap does not address the continuing contradictions in its operations”. Most worryingly, ever more private commercial finance is being touted as development and/or climate finance.

Despite being among the world’s largest public lenders, the WB has been slow to provide climate finance, and is already years behind schedule. It is not even aligned with the non-binding 2015 Paris Agreement goals, with new operations only scheduled to become aligned from mid-2023!

Worse, WB subsidiaries – the International Finance Corporation and the Multilateral Investment Guarantee Agency – will only become aligned from mid-2025, a decade after Paris! Also, its climate finance definition, data and corporate strategy remain controversial and unhelpful.

Meanwhile, the WB has worsened the climate crisis, e.g., by providing $16 billion of project finance for fossil fuels since 2015. Its involvement in Clean Development Mechanism projects involves a ‘serious conflict of interests’, profiting from the climate crisis while worsening it!

The WB Group (WBG) intends to mobilize private capital with de-risking strategies, such as blended finance. Instead of using public finance to provide concessional terms to the deserving, public funds will thus make commercial finance more profitable.

Despite much cause for concern and caution, the WB’s problematic 2017 Maximizing Finance for Development promotes commercial finance as the main source of development and climate funding.

The WBG claims to want greater development and climate impacts from private commercial finance. This is undoubtedly in line with the WB creed that only the private sector can overcome the climate crisis despite being its major enabler, if not cause.

Such initiatives by former WB president Jim Kim and former Bank of England governor Mark Carney are considered ‘much ado about nothing’ by many in the global South. Enabling profit-seeking businesses to call the shots can hardly be the solution, and may instead worsen the problem.

Way forward?
Developing country leaders have long appealed for a new ‘international financial architecture’ to better address development and climate challenges, drawing support from civil society, especially in the global South.

Without any agreed multilateral definition of climate finance, governments and corporations are ‘greenwashing’ their financial abuses by labelling their financial operations as constituting climate and development finance.

As poor nations in the tropical zone suffer the worse consequences of accelerating global warming, only multilateral recognition of the need for financial reparations to address historical and contemporary losses and damages.

It is unlikely the needed climate financing will be voluntarily provided by those most responsible for the climate crisis. At the very least, rich nations should support regular issue of IMF Special Drawing Rights in the near term within the constraints imposed by likely US Congressional disapproval.

These should be urgently reallocated for concessional climate finance in the coming years prioritizing the adaptation needs of developing nations, prioritizing cumulative losses and damages due to the climate crisis.

Meanwhile, Eurodad urges penalizing “the private sector of the developed global north for failure to meet its carbon emission reduction” promises as it is responsible for over 90% of excess GHG emissions.

It has also called for “providing developmental space for developing countries” to progress, and re-orienting “the bank’s developmental model towards climate reparations”, especially for Africa, the least developed countries and small island developing states.

But the WB plan offers no major improvements, only more of the same. Instead, the WB should help the UN design and implement a comprehensive monitoring and reporting framework for all development and climate finance, including private finance.

By recognizing the international and intergenerational inequities of global warming, the WB can become far more equitable by ensuring all nations develop sustainably while addressing the climate crisis.

To do so, it will need to uphold ‘polluters pay’ and ‘common, but differentiated responsibilities’ principles, enshrined in international climate agreements.

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Mining Revenues Undermined — Global Issues

  • Opinion by Jomo Kwame Sundaram (kuala lumpur, malaysia)
  • Inter Press Service

This minerals boom improved many developing country growth records, not least in Africa. With growing pressures to act urgently in response to accelerating global warming, mitigation efforts have been stepped up, promising energy transitions to reduce greenhouse gas emissions.

The Intergovernmental Forum on Mining, Minerals, Metals and Sustainable Development (IGF) and the African Tax Administration Forum (ATAF) report, The Future of Resource Taxation: 10 policy ideas to mobilize mining revenues, reviews major problems faced by African and other governments trying to greatly increase revenue from mining.

Great expectations, little taxation
Colonial and neo-colonial mining arrangements have rarely delivered the revenue needed by post-colonial governments. Weak governance, overly generous tax incentives, poor fiscal policies, bad contracts, as well as tax avoidance and evasion have all eroded mineral revenues for developing countries.

Resource-rich countries have been rethinking how to benefit more from mining in the face of the Covid-19 pandemic, worsening developing country debt crises, and increasingly uncertain government revenues and expenditures.

Mining royalties and taxation have remained largely unchanged for decades, while corporate income tax is hard to collect, vulnerable to profit shifting and often minimized with the aid of tax professionals and corrupt officials.

Improving taxation
Taxing transnational corporations has long posed major challenges. Poor laws and enforcement as well as limited funding and staff mean most developing countries are poorly equipped to apply complex international tax norms, such as the ‘arm’s-length principle’ and ‘double taxation treaties’.

Developing nations are especially vulnerable to tax base erosion and profit shifting (BEPS). International Monetary Fund staff estimate African countries have lost annual mining revenue up to $730 million annually due to BEPS.

Many developing countries identified ‘transfer pricing’ as the greatest challenge to taxing mining. The problem has been made worse by mining tax regimes and investment agreements favouring investors, especially from abroad.

Such agreements often contain fiscal incentives making mining revenue collection difficult. Worse, many governments believe generous tax incentives are necessary to attract mining investment. But these typically undermine effective tax administration, causing significant revenue losses.

Also, policy conditionalities typically ‘lock in’ poorly designed fiscal conditions and mining contracts, often required or recommended by the IMF or World Bank. These tend to benefit investors, potentially resulting in costly disputes for host governments.

Generating substantial government revenue from artisanal and small-scale mining (ASM) is difficult. As ASM induces more local spending, rather than extraction or export taxes, indirect taxes and wealth taxes are probably better for such incomes.

Governments of resource-rich developing countries require finance and reliable personnel for successful implementation, to ensure accountability and curb corruption. Sufficient financial and technical assistance can greatly improve mining revenue collection, ensuring companies pay all royalties and taxes due.

Effective implementation needs to be well supported by international agreements and organizations, development partners, and civil society. Tax incentives undermining government policy objectives and legal systems should be avoided.

Taxing better not easy
More access to information and expertise can greatly improve mining tax administration. Information, particularly from other jurisdictions, is critical for tax administrations to better collect taxes due. Sadly, progress has been painfully slow in many developing countries.

Instruments designed to improve information exchange include bilateral investment and tax treaties, tax information exchange agreements, the Organization for Economic Co-operation and Development (OECD) Convention on Mutual Administrative Assistance in Tax Matters, and the ATAF Multilateral Agreement on Assistance in Tax Matters.

Mining revenue collection needs to be able to verify the quantity and quality of mineral reserves and extracts. Key challenges include enhancing tax audit capacity and getting up-to-date knowledge of mining, including implications of changes in mining techniques.

Better inter-agency cooperation is often necessary for better regulation and to avoid an incoherent, fragmented approach. Many mining revenue BEPS problems are due to capacity constraints, e.g., whether governments can effectively verify the costs of goods and services and mineral prices.

Many transactions also require tax auditors to have detailed knowledge of the mining value chain. Many aspects of mining operations allow inflating actual costs to evade taxes. Valuing intangibles, such as intellectual property, is also difficult. Many countries also lack regulations to tax the sale of offshore indirect mining assets, often losing much revenue as a consequence.

Too little too late?
Mineral-rich developing countries hope for more ‘resource rents’ from mining to significantly enhance government revenue. They hope mining taxation will collect much more revenue, subject to other policy goals. However, in most cases, mining has failed to deliver the expected revenues.

Inappropriate laws and investment agreements, overly generous tax incentives, as well as tax evasion and avoidance have contributed to this failure. Some authorities lack the expertise, information and means to more effectively tax mining. Corruption and poor revenue management also remain challenges.

Thankfully, mining revenue collection has improved, albeit modestly. Many countries are improving their mining tax regulations and strengthening their tax audit capacity.

Better international cooperation can address many problems, including information asymmetries. All countries implementing the Extractives Industries Transparency Initiative (EITI) are now required to disclose mining, oil, and gas contracts. This can significantly improve transparency.

Although welcome, such improvements are still far from enough to meet the considerable domestic revenue mobilization needs of developing countries soon enough to adequately accelerate sustainable development after dismal progress for almost a decade.

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Revisiting the Water-Energy Nexus for a Changing Climate — Global Issues

View of the Itaipú hydroelectric plant shared by Brazil and Paraguay on the Paraná River. CREDIT: Mario Osava/IPS
  • Opinion by Philippe Benoit, Anne Sophie Corbeau (washington dc)
  • Inter Press Service

Although an agreement was reached by the three dependent Western states to cut water use, it served as a reminder of the dependency of energy production on water … a dependency that is being subjected to greater uncertainties because of climate change.

This phenomenon is not only impacting citizens dependent on the Colorado River but stretches across the United States and the world. Over the past two years, Europe, China, Brazil, Iraq, the Horn of Africa, have experienced the worst droughts in (sometimes hundreds of) years.

Importantly, the water-to-energy relationship also runs the other way: water production and delivery are themselves dependent on energy.

Moreover, the need of water services for energy is likely to increase, driven by growing populations, rising prosperity (notably in developing countries) and novel uses of energy for water in desalination plants and elsewhere. As we feel the impact of increasingly intense heat waves and droughts, the time has come to revisit the challenges of the water-energy nexus.

The dependence of energy production on water has long been recognized by energy experts, but has surprised many others. Beyond very visible hydropower plants, like the Hoover Dam, water is used to cool down nuclear power plants (through the cooling towers emitting steam that many may have noticed, without perhaps always identifying the purpose), as well as in natural gas and coal-fired plants. Water is also used in various stages of the energy supply chain, including for production and processing.

Climate change is expected, through its impact on water supply and availability, to increase vulnerabilities in energy production. For example, changing rain patterns will create uncertainties for hydropower production, which represents 15 percent of global power generation, even if the overall level of rainfall doesn’t change.

Heat waves have reduced water levels and raised water temperature above the levels at which water can be discharged back into rivers, restricting the operation of many nuclear power plants.

And in a completely different dynamic, various coal power plants dependent on barge transport for resupply have seen their operations imperiled by low water levels. These are aspects that have received some, but altogether inadequate, attention to date.

Both hydroelectricity and nuclear generation, two low-carbon sources of electricity, are expected to increase significantly over decades to come under various government programs to reduce greenhouse gas emissions.

Moreover, even as the need for water to cool down coal-fired plants is eventually expected to drop as countries transition from this carbon intensive fuel source, new uses for water are emerging, including for the production of hydrogen through electrolysis.

What has attracted less attention is the impact of growing demand for energy from developments in water systems. The UN projects that the world’s population will increase by over 1.2 billion by 2040, with about two-thirds of that increase occurring in emerging economies and other developing countries.

These nations are also projected to see significant increases in their income levels, increasing the ability of their populations to access water services, at home, at the office or for pleasure. Moreover, the demand for food is also similarly projected to increase, and with that, the need for more water irrigation services inevitably powered by energy.

These factors are helping to drive an increase in the demand for energy. For example, the International Energy Agency projects that the amount of energy required by the water sector will more than double within 20 years. The major driver under the IEA’s modelling is the demand from desalination plants.

These are no longer confined to the dryer climates of the Middle East and North Africa, but also in regions which once thought that their water supplies were ample, such as Europe or Asia. Other important growing demand for water is also coming from waste water treatment plants and the supply of clean drinking water and sanitation services to both the billions of poor who currently lack it and the other more prosperous billions across the developing world whose consumption is projected to increase.

Unfortunately, efforts to meet this demand will be exacerbated by climate change. For example, droughts are likely to require the transport of water over longer distances to satisfy the needs of populations suffering from water scarcity, an effort that will require more energy.

Similarly, over the past year, droughts have heightened the possibility of water restrictions for millions of people in Southern Europe, including drinking water, which might in turn require more desalination.

But though tensions are inevitable, actions can be taken to, if not avoid the problems, dampen its impact. Actions lie in the water or energy sectors, and, often, at the intersection of the two. In the water sector, these include reducing water losses, allowing construction of rainwater collection tanks for agricultural use, increasing waste-water facilities, and fast-tracking the installation of desalination plants.

In energy, transitioning to solar irrigation pumps is something that can help everywhere, in rich and poor countries alike. At the intersection, actions include hydropower plant design and management that are better adapted to the changing rainfall patterns of the future, building more efficient water-based cooling systems for other plants, and even greater use of artificial intelligence.

The energy-for-water dimension will become increasingly fraught, driven by the combination of climate change, growing populations and increasing prosperity. Not only do we need to redouble our efforts to reduce greenhouse gas emissions, we also require stronger concerted actions on adaptation and resilience.

Like for energy, we need to be more efficient at using water, whether this is for households needs, industrial processes, agriculture or energy; meanwhile concerted action and discussion between those sectors will be needed.

The recent events along the Colorado River serve as an important wake-up call. Water is at the essence of our quality of life, and energy is an integral part of that story. We need to do a better job of managing our thirst for water and the energy required to satisfy that demand … and we need to do this in the face of a changing climate.

(First published in The Hill on July 7, 2023)

Philippe Benoit is research director forGlobal Infrastructure Analytics and Sustainability 2050 and previously held management positions at the World Bank and the International Energy Agency. He is also adjunct senior research scholar at Columbia University’s Center on Global Energy Policy.

Anne-Sophie Corbeau is global research scholar at the Center on Global Energy Policy at Columbia University and a visiting professor at Sciences Po.

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Biodigesters Light Up Clean Energy Stoves in Rural El Salvador — Global Issues

Marisol and Misael Menjívar pose next to the biodigester installed in March in the backyard of their home in El Corozal, a rural settlement located near Suchitoto in central El Salvador. With a biotoilet and stove, the couple produces biogas for cooking from feces, which saves them money. The biotoilet can be seen in the background. CREDIT: Edgardo Ayala / IPS
  • by Edgardo Ayala (suchitoto, el salvador)
  • Inter Press Service

In the countryside, composting latrines, which separate urine from feces to produce organic fertilizer, are very popular. But can they really produce gas for cooking?

“It seemed incredible to me,” Marisol Menjívar told IPS as she explained how her biodigester, which is part of a system that includes a toilet and a stove, was installed in the backyard of her house in the village of El Corozal, near Suchitoto, a municipality in the central Salvadoran department of Cuscatlán.

“When the first ones were installed here, I was excited to see that they had stoves hooked up, and I asked if I could have one too,” added Marisol, 48. Hers was installed in March.

El Corozal, population 200, is one of eight rural settlements that make up the Laura López Rural Water and Sanitation Association (Arall), a community organization responsible for providing water to 465 local families.

The families in the small villages, who are dedicated to the cultivation of corn and beans, had to flee the region during the country’s 1980-1992 civil war, due to the fighting.

After the armed conflict, they returned to rebuild their lives and work collectively to provide basic services, especially drinking water, as have many other community organizations, in the absence of government coverage.

In this Central American country of 6.7 million inhabitants, 78.4 percent of rural households have access to piped water, while 10.8 percent are supplied by wells and 10.7 percent by other means.

Simple green technology

The biodigester program in rural areas is being promoted by the Salvadoran Water Authority (Asa).

Since November 2022, the government agency has installed around 500 of these systems free of charge in several villages around the country.

The aim is to enable small farmers to produce sustainable energy, biogas at no cost, which boosts their income and living standards, while at the same time improving the environment.

The program provides each family with a kit that includes a biodigester, a biotoilet, and a small one-burner stove.

In El Corozal, five of these kits were installed by Asa in November 2022, to see if people would accept them or not. To date, 21 have been delivered, and there is a waiting list for more.

“With the first ones were set up, the idea was for people to see how they worked, because there was a lot of ignorance and even fear,” Arall’s president, Enrique Menjívar, told IPS.

In El Corozal there are many families with the surname Menjívar, because of the tradition of close relatives putting down roots in the same place.

“Here we’re almost all related,” Enrique added.

The biodigester is a hermetically sealed polyethylene bag, 2.10 meters long, 1.15 meters wide and 1.30 meters high, inside which bacteria decompose feces or other organic materials.

This process generates biogas, clean energy that is used to fuel the stoves.

The toilets are mounted on a one-meter-high cement slab in latrines in the backyard. They are made of porcelain and have a handle on one side that opens and closes the stool inlet hole.

They also have a small hand pump, similar to the ones used to inflate bicycle tires, and when the handle is pushed, water is pumped from a bucket to flush the waste down the pipe.

The underground pipe carries the biomass by gravity to the biodigester, located about five meters away.

The system can also be fed with organic waste, by means of a tube with a hole at one end, which must be opened and closed.

Once it has been produced, the biogas is piped through a metal tube to the small stove mounted inside the house.

“I don’t even use matches, I just turn the knob and it lights up,” said Marisol, a homemaker and caregiver. Her husband Manuel Menjívar is a subsistence farmer, and they have a young daughter.

In El Corozal, biodigesters have been installed for families of four or five members, and the equipment generates 300 liters of biogas during the night, enough to use for two hours a day, according to the technical specifications of Coenergy, the company that imports and markets the devices.

But there are also kits that are used by two related families who live next to each other and share the equipment, which includes, in addition to the toilet, a larger biodigester and a two-burner stove.

With more sophisticated equipment, electricity could be generated from biogas produced from landfill waste or farm manure, although this is not yet being done in El Salvador.

Saving money while caring for the environment

The families of El Corozal who have the new latrines and stoves are happy with the results.

What they value the most is saving money by cooking with gas produced by themselves, at no cost.

They used to cook on wood-burning stoves, in the case of food that took longer to make, or on liquefied gas stoves, at a cost of 13 dollars per gas cylinder.

Marleni Menjívar, for example, used two cylinders a month, mainly because of the high level of consumption demanded by the family business of making artisanal cheeses, including a very popular local kind of cottage cheese.

Every day she has to cook 23 liters of whey, the liquid left after milk has been curdled. This consumes the biogas produced overnight.

For meals during the day Marleni still uses the liquefied gas stove, but now she only buys one cylinder a month instead of two, a savings of about 13 dollars per month.

“These savings are important for families here in the countryside,” said Marleni, 28, the mother of a four-year-old girl. The rest of her family is made up of her brother and grandfather.

“We also save water,” she added.

The biotoilet requires only 1.2 liters of water per flush, less than conventional toilets.

In addition, the soils are protected from contamination by septic tank latrines, which are widely used in rural areas, but are leaky and unhygienic.

The new technology avoids these problems.

The liquids resulting from the decomposition process flow through an underground pipe into a pit that functions as a filter, with several layers of gravel and sand. This prevents pollution of the soil and aquifers.

Also, as a by-product of the decomposition process, organic liquid fertilizer is produced for use on crops.

Checking on site: zero stench

Due to a lack of information, people were initially concerned that if the biogas used in the stoves came from the decomposition of the family’s feces, it would probably stink.

And, worst of all, perhaps the food would also smell.

But little by little these doubts and fears faded away as families saw how the first devices worked.

“That was the first thing they asked, if the gas smelled bad, or if what we were cooking smelled bad,” said Marleni, remembering how the neighbors came to her house to check for themselves when she got the latrine and stove installed in December 2022.

“That was because of the little information that was available, but then we found that this was not the case, our doubts were cleared up and we saw there were no odors,” she added.

She said that, like almost everyone in the village, her family used to have a dry composting toilet, but it stank and generated cockroaches and flies.

“All that has been eliminated, the bathrooms are completely hygienic and clean, and we even had them tiled to make them look nicer,” Marleni said.

She remarked that hygiene is important to her, as her little girl can now go to the bathroom by herself, without worrying about cockroaches and flies.

© Inter Press Service (2023) — All Rights ReservedOriginal source: Inter Press Service

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A Call for Global Partnership — Global Issues

Over half the people in Africa still don’t have electricity access — a major contributor to persistent poverty.  Credit: Energy 4 Impact Senegal
  • Opinion by Philippe Benoit, David Sandalow (washington dc)
  • Inter Press Service

Renewable energy is an important part of the solution – and Africa enjoys an enormous potential in this regard. With some of the world’s highest levels of solar irradiance, vast expanses of land with favorable wind conditions and powerful rivers with immense hydroelectric potential, Africa is teeming with renewable energy resources. However the continent’s progress in tapping into this potential lags, leaving a huge energy access challenge as well as a power generation deficit that is stunting business and other drivers of inclusive economic growth.

As the world gears up for the 28th Conference of the Parties to the UN Framework Convention on Climate Change (COP28) to be held in the United Arab Emirates (UAE), the need to address Africa’s energy needs sustainably is all too apparent. Doing so will require rethinking the approach and reshaping policies to dramatically grow Africa’s energy system.

This will require big and bold actions, including massive investments in large-scale infrastructure. It will also require investment in information and other soft assets.  And, significantly, it will also necessitate  small and micro-scale grassroots initiatives which are particularly important to ensure that local populations remain active participants in the process.

The shortage of energy in Africa is a pressing problem. Over half the people in Africa still don’t have electricity access — a major contributor to persistent poverty.  This gap drives households to rely on inefficient and polluting energy sources like charcoal, wood, and kerosene. This pervasive energy deficit, highlighted in the ‘Tracking SDG7: The energy progress report for 2022’ has profound implications for health, education, and sustainable development across the continent.

An even larger portion of the population lacks access to clean cooking technologies, a crisis disproportionately affecting women and girls, and exposing them to harmful household air pollution that was responsible in 2019 for approximately 700,000 deaths across Africa. Rather than diminishing, the number of people without access is projected to potentially rise from 923 milion in 2020 to 1.1 billion in 2030.

But Africa’s energy problem extends beyond the lack of access to electricity and clean cooking targeted by SDG#7.  In too many places across the continent, there is a lack of sufficient and reliable electricity to power businesses that are the backbone of Africa’s growth drive.  The result is a combination of inadequate supply or expensive generators acquired to compensate for the inefficiencies.  Fundamentally, Africa’s ability to stimulate local entrepreneurs or attract international developers and capital is too often being undermined by a weak electricity network.

The shift in focus to renewables provides an opportunity to change the narrative and realities of Africa’s power system.  The large amounts of financing being discussed for climate (including in the lead-up to and at COP 28) – amounts which tend to exceed the levels of funding traditionally mobilized for poverty alleviation – provide an important opportunity for the continent.

Mobilizing funding to harness Africa’s bountiful renewable energy would not only help to meet its current and increasingly large future energy needs, but also contribute to global efforts to avoid prospective greenhouse gas emissions.

Moreover, Africa’s renewables are large enough to both meet domestic needs, and also help to power green development abroad, including through the export of green electricity to Europe or even, eventually, hydrogen generated from its massive hydropower resources.

Unlocking Africa’s renewable potential will require supportive policies, robust regulations, technological innovation, and substantial investment. Strong, sound and predictable regulatory frameworks and institutions are key.

Better information is also key. For example, the African Energy Commission has established the Strategic Framework on the African Bioenergy Data Management  that seeks to raise awareness of the potential of the bioenergy sector, reflecting the specificities of the reality on the ground in the region.

Given Africa’s limited financial resource base, any solution requires reaching beyond Africa’s borders.  Wealthy nations can bring capital, expertise, and adapted technologies to the continent. South-South cooperation can encourage peer learning, the dissemination of technological solutions adapted to local climatic conditions and the developing country economic context, and support the deployment of the increasing financial capacities of emerging economies to support Africa’s renewables.

Multilateral development banks, development finance institutions, export credit agencies and private capital should also all do more.

The hosting of COP28 in the UAE provides an opportunity to mobilize funding for Africa from a broader set of actors and countries, moving beyond the traditional North/South divide.  In fact, climate finance has been identified by the COP28 host as one of the key goals of this COP. As COP28 President Sultan Al-Jaber said at last month’s climate finance summit held in Paris, “For countries that have done the least to cause climate change, climate finance remains unaccessible, unavailable and unaffordable….” Can COP 28, with UAE leadership, deliver for Africa on this potential?

One UAE initiative – the Zayed Sustainability Prize – has already helped promote local action in addressing these challenges.  (One of the authors is a member of the Selection Committee for the Prize.) Over the years, the Zayed Sustainability Prize has supported sustainable change around the world by recognising and rewarding innovative and impactful organizations working to overcome development barriers, including limited access to reliable power, clean water, quality healthcare, and healthy food.

For example, M-KOPA, which won in the Energy category in 2015, uses digital technology to help its customers make micropayments towards essential products and services, such as smartphones, refrigerators, solar panels, even bank loans and health insurance. Last month, it closed US $250 million in new funding to expand its fintech services to underbanked consumers in Kenya, Nigeria, and more recently, Ghana.

Another winner was the Starehe Girls Centre which empowers disadvantaged girls by providing them access to quality education. The school won the Prize in 2017 in the Global High Schools category in recognition of its efforts to reduce its utility bills through the installation of solar panels and more efficient lighting. These financial savings have allowed it to admit more girls from disadvantaged backgrounds.

Generating local action is a critical input to ensure that massive investment programs translate into a just transition for households. To this end, large-scale infrastructure must be accompanied by people-centric programs.

Africa’s renewable energy potential could both help drive enormous economic growth in the region while also helping the world address the challenge of climate change. The potential is there, and it will require action …  in ways big and small.

(Article first published in Nation (Kenya edition) on July 3, 2023)

Philippe Benoit is research director for Global Infrastructure Analytics and Sustainability 2050. He previously held management positions at the World Bank and the International Energy Agency and has over 20 years of experience working on Africa.

David Sandalow is Inaugural Fellow at the Center on Global Energy Policy, Columbia University, and a member of the Selection Committee of the Zayed Sustainability Prize.

© Inter Press Service (2023) — All Rights ReservedOriginal source: Inter Press Service

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Millions of Household Biomass Producers — Global Issues

While India decreased its population without access to clean cooking fuels by about 30 percent from 2010 to 2020, Africa has seen an increase of more than 50 percent over the same period, driven by a rising number of poor, tepid government policies to address this issue, and overarching poverty challenges. Credit: Zofeen Ebrahim/IPS
  • Opinion by Philippe Benoit, Alexandra Peek (washington dc)
  • Inter Press Service

Of those who continue to lack this access, the majority—923 million—live in sub-Saharan Africa, followed by 490 million in India. While India decreased its population without access by about 30 percent from 2010 to 2020, Africa has seen an increase of more than 50 percent over the same period, driven by a rising number of poor, tepid government policies to address this issue, and overarching poverty challenges.

These figures are likely to remain persistently high at about 2.2 billion over the next decade, roughly split between India and other parts of developing Asia on the one hand, and sub-Saharan Africa on the other.

Hidden behind these figures are the people who produce the biomass that powers most of this energy use: often it’s women and girls who are tasked with this labor. In this article, the authors discuss why it’s important to see these women and girls—potentially the largest segment of the energy labor force today and in the foreseeable future—as producers and workers.

In understanding them as a formidable workforce of biomass producers, their knowledge and experience can inform ongoing efforts of electrification, clean cooking alternatives, gender rights, and overall poverty alleviation. It is also equally important to recognize this workforce in order to improve its working conditions on the path to building a more inclusive energy workforce toward net zero emissions.

While the United Nations Sustainable Development Goal #7 (SDG 7) draws attention to the need to eliminate the use of non-clean cooking techniques that kill millions each year, the working conditions under which women toil today to produce biomass also merits greater attention.

As the World Bank reported recently, “across most of Sub-Saharan Africa and in parts of China, women are the primary fuel wood collectors,” which is also the case in areas of South Asia. This is time-consuming and physically demanding work that can involve “collecting and carrying loads of wood that weigh as much as 25-50 kilogrammes” and can “take up to 20 or more hours per week.”

Estimating the Size of this Workforce

Just how many women are working in this area? A preliminary estimate—based on data regarding the number of households relying on biomass for cooking and the rate of participation of women in this labor—puts the number at over 300 million. Overall, while there is reliable data on lack of access to clean cooking, reliance on biomass, and deforestation trends, there is a gap in knowledge about the (wo)man power it takes to produce biomass.

This gap may stem from the way issues around biomass are often discussed in the SDG 7 context. For example, data on the lack of access to clean cooking primarily informs solutions to shift cooking norms and electrification pathways and efforts to obviate the need for women to labor in producing biomass, while data on biomass reliance feeds into conservation and land use efforts.

Such efforts, however, tend to overlook women as an energy workforce, even though across sub-Saharan Africa, India, parts of China, and Latin America, women and young girls collect and make the biomass necessary to power their homes, including for heating.

Organizations focused on gender parity, such as SEforAll, come closer to recognizing the work of these women and girls, but they, too, frame their efforts in line with clean cooking initiatives rather than labor conditions or rights. For instance, research on the number of hours spent collecting firewood and preparing meals is used to discuss cultural and gender roles that lead to systemic disadvantages for women and girls.

A missing link in all of these narratives and frameworks is understanding the size and importance of this workforce and how it might inform different strategies.

Embracing a Worker-Producer Narrative

Calculating the number of women and girls in their capacity as biomass producers reframes the perception of them as passive consumers (i.e., cooks) to active self-producers of the household energy sector. This framework can bolster efforts mentioned above in the following ways:

First, it reframes biomassfrom an issue singularly belonging to the clean cooking initiative and places it more broadly in the context of workers’ rights. Despite numerous clean cooking campaigns, poor women and girls will continue to produce biomass for their families for the foreseeable future. As important as it is to make access to clean cooking technologies universally available, what can be done for those producing their own energy in the meantime?

For example, these could be solutions such as creating wood stalls in more accessible areas to reduce collection times, or developing more ergonomic harnesses for carrying the wood to reduce the physical burden of the work. In addition, can more income-generating opportunities be created to help reduce the poverty of these women and girls?

Second, it informs policies around building an inclusive energy workforce. Recognizing that there is already a female-run and -operated energy workforce across the developing world has implications for workforce policies governing the energy transition. For example, when it comes to the ability to tap into this existing labor force, does reskilling apply to this workforce as it does to coal miners?

Moreover, by focusing on improving the labor conditions of women and girl biomass producers, this framework intersects with SDG 5: achieve gender equality and empower all women and girl. Organizations such as the Clean Cooking Alliance that aim to “increase the role of women in the clean cooking sector” and collect data on the number of hours required for biomass production could benefit from such a framework.

Third,research that intentionally includes groups underserved and underrepresented in data can inform policies for a just energy transition. Capturing the number of women and girls producing biomass can lead to important discoveries for improving their lives while informing the energy transition. For instance, surveys and fieldwork to collect the amount of biomass producers could also be used to track energy consumption and production trends that inform electrification efforts.

Many biomass collectors live on the margins or in rural areas, and research geared toward their energy needs can inform, for example, decentralized renewable energy projects and help anticipate their consumption patterns.

This energy workforce comprises some of the poorest people in the world—women, girls, and people of color—and that may partly explain why their labor and working conditions have received relatively less attention.

The latest Intergovernmental Panel on Climate Change (IPCC) report and other research puts the world on a tight timeline for lowering emissions. Existing frameworks for achieving a clean energy transition can be strengthened through approaches that recognize and acknowledge the agency of biomass energy producers made up of millions of women and girls.

Alexandra Peek is a research associate with Columbia University’s Center on Global Energy Policy.

Philippe Benoit is an adjunct senior research scholar with Columbia University’s Center on Global Energy Policy and is also research director forGlobal Infrastructure Analytics and Sustainability 2050.

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Can Carbon Trading Stop Global Heating? — Global Issues

Sarah Razak
  • Opinion by Jomo Kwame Sundaram, Sarah Razak (kuala lumpur, malaysia)
  • Inter Press Service

Global warming occurs when heat from the sun is absorbed by greenhouse gases (GHGs) such as carbon dioxide (CO2) and methane. Like a blanket, GHGs trap heat, preventing it from escaping our atmosphere. This raises temperatures on Earth, accelerating climate change and triggering extreme weather events such as droughts, cyclones and floods.

Market solution?
Carbon trading has been touted by some economists as the best, fairest and most efficient solution to mitigate global warming. The basically simple market-based idea behind carbon trading is appealing – companies will stop emitting as they must pay to release GHGs by buying ‘carbon credits’.

With carbon trading, companies are rewarded for releasing less GHGs. Such companies can sell their extra carbon credits to other companies exceeding their credits, who must thus pay to release more GHGs.

Correctly pricing such credits is thus crucial for the efficacy of the mechanism. But carbon trading promoters tend to under-price credits for carbon trading to gain more acceptance and support.

Thus, this approach treats the Earth’s capacity to absorb CO2 as a service to be bought and sold while ignoring its other all too real implications. Worse, quotas are often arbitrarily set, without rewarding low emitters of the past and present.

Dubious equivalence
There are many GHGs – including methane, nitrous oxide, and others – of which the most important is CO2. The notion of carbon equivalence had to be created to create a market for GHGs’ estimated carbon equivalents (CO2e), ostensibly measured by their global warming potential relative to CO2.

Carbon markets and trading – based on such equivalence – have, in turn, led to misleading estimates and interpretation. The resulting poor policy analysis, formulation and efficacy undermine efforts to address global warming more effectively.

Due to the complex and changing properties of gases, CO2e estimates have been subject to many revisions. In 1996, the Intergovernmental Panel on Climate Change (IPCC) declared one unit of hydrofluorocarbon (HFC-23) gas had a global warming potential equivalent to 11,700 units of carbon dioxide (CO2e) over a 100-year period.

In 2007, HFC-23’s CO2 equivalence was revised upwards to 14,800 CO2e. But the IPCC noted even this huge revision upwards remained subject to a huge margin of error of plus or minus 5000 CO2e units.

CO2e is also complex to navigate as different GHGs have different properties. For example, HFC-23 has a stronger warming effect than CO2 in the short-term. Thus, using a common yardstick for these two very different gases – as is commonly done – is not only scientifically moot, but also analytically misleading.

Carbon markets delay action
Unsurprisingly, carbon trading’s premises remain controversial. After all, carbon trading does not actually reduce GHGs, but merely discourages increasing emissions by imposing the costs of buying credits. Thus, instead of cutting GHG emissions, companies can buy carbon credits, fostering an illusion of progress.

Those buying carbon credits may believe they are thus reducing GHG emissions. But in fact, emissions do not decline much. Worse, companies may believe they are fully compensating for all the negative consequences (‘externalities’) of emitting GHGs by buying carbon credits. But this is an illusion.

High GHG emitters do not actually have to make much effort to cut emissions. Buying carbon credits, ostensibly to compensate for their GHG emissions, has thus become a low-cost, low-effort alternative to investing in less GHG-emitting technologies.

Unsurprisingly, most major emitters prefer the cheaper option of carbon trading over such transformative investments. Real investments in better technologies typically require significant upfront costs, while the financial returns to such investments are almost never immediate.

Companies have every incentive to indefinitely postpone major efforts to cut GHG emissions by participating in carbon trading. Thus, carbon trading effectively delays – rather than accelerates – needed transitions to renewable energy technologies.

‘Carbon offsets’ offset action
Companies can earn carbon credits for doing ‘climate friendly’ projects – such as reforestation – to offset the harm done by GHG emissions. These projects are supposed to compensate for the harm caused by GHG emissions, ostensibly offsetting companies’ adverse environmental impacts.

While planting trees can absorb CO2, it does not immediately eliminate accumulated CO2. A significant time lag occurs as growing trees need time to increase their capacity to absorb CO2, and thus reduce atmospheric CO2 levels.

The rate of CO2 emissions release into the atmosphere exceeds the rate at which CO2 is naturally absorbed by natural sinks like forests, including offset projects. This imbalance has contributed to an accelerating increase in long-term GHG accumulation levels in the atmosphere.

Although carbon trading may help reduce growing emissions at the margin, it has not significantly reduced accumulated CO2 in the atmosphere. The time lags involved further diminish its net contribution, and certainly do not offer the urgent solutions needed.

By purchasing carbon credits from such projects, many think they are thus offsetting their GHG emissions. But there is no empirical evidence that such offset projects actually reduce GHG emissions, i.e., carbon trading is not even ‘net-zero’.

Holistic approach needed
Unsurprisingly, carbon credits, markets and trading have fostered a false sense of progress. Most problematically, it has delayed the urgent need for an accelerated transition, especially to far more renewable energy generation and use.

To more effectively address the challenges of global warming, we need to move beyond carbon trading to a more comprehensive approach prioritizing more urgent, effective and impactful adaptation and mitigation efforts, including renewable energy generation and use.

Sarah Razak and Jomo Kwame Sundaram work at the Khazanah Research Institute in Kuala Lumpur.

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The Ukraine War – Will it Ever End? — Global Issues

  • Opinion by Daud Khan (rome)
  • Inter Press Service

In recognition of the awful nature of these bombs, their use, transfer, production, and stockpiling has been prohibited under the Convention on Cluster Munitions, an international treaty signed in 2008 by 108 countries. However, several major military powers, including the China, Russia and the USA have not signed the Convention, as did not the Ukraine.

Cluster bombs have been used by both sides in the current war. This has not only caused high human casualties but already turned many areas into a minefield that will take decades to clear up. But reportedly stocks of such bombs in the Ukraine are running low and the decision of the USA would effectively help them continue a flagging counter-offensive. In particular, it is expected that they would help dislodge Russian forces that are dug in inside Ukrainian territory.

The latest move once again raises awkward questions – what is this war about, how long will it last and will anyone come out a winner.

As in all wars, there are many short-term proximate causes. Depending on the lens which one uses, the war is about protecting the rights of Russian speaking people in the Donbas; or about the rights of all Ukrainians – Russian or Ukrainian speaking – to follow their desire to be part of a liberal democratic Europe. But there are also long-term interests at play. Depending on one’s political views this war is about an irredentist and power hungry Putin. An alternative view is that the war is about Russian resistance to the continued eastern expansion of NATO and the creation of a well-armed, albeit denuclearized, Ukraine – a thorn in the side of Russia.

Whatever view one wishes to take on various causes, this is undoubtedly an existential war for the Russian state as it is now, for the Ukraine state as it is now, and the unipolar, US dominated world as it is now. If the Ukrainians win, it would be the end the Putin regime. It would also signal the end to his aspirations for a Greater Russian, to his dreams of making Russia once again a global power, and to his hopes of using Russian energy and other mineral resources to build domestic prosperity.

If on the other hand, should the Russians win it would be the end of Ukraine aspirations to be a part of a liberal democratic Europe, to be part of the EU and a member of NATO. Russian victory would also mean a serious blow to the USA, its allies and to the existing world order.

The very high stakes implies that none of the major protagonists can afford to walk away without a clear cut victory. This is in contrast to other recent wars such as the Afghan wars that Russia and the USA fought. Strategic interests were at stake even in these wars – Russia wanting access to a warm water port on the Indian Ocean and the USA wanting a friendly regime in Kabul to contain Islamic terrorism. Walking away from those wars certainly involved giving up these strategic objectives as well as a major loss of prestige. But the stakes were nowhere as high as in the current Ukraine Russia war.

And so it is unlikely we will be seeing any serious attempt towards a ceasefire, even less a convening of parties around a negotiating table. Unfortunately the most likely scenario is that the war will continue. Not only that, it is likely to escalate as it has over the last year from an initial dispatch of “defensive weapons”, to dispatch of long range missiles, modern tanks, and now cluster bombs. The next step will most likely be the dispatch of modern airplanes such as the F-16 on which Ukrainian pilot are already being trained. And then? Maybe some use of some sort of battlefield nuclear weapons.

And while the war in Europe drags on and escalates, there is an elephant in the room – China, the archenemy of the USA. How will they behave as the USA and its allies supply increasingly sophisticated weapons to Ukraine? Will they try and bolster Russia with who they have a “friendship with no limits”? Or would they be tempted to make a grab for Taiwan while the USA is tied up in the Ukraine.

There are dangerous and uncertain times ahead.

Daud Khan works as consultant and advisor for various Governments and international agencies. He has degrees in Economics from the LSE and Oxford – where he was a Rhodes Scholar; and a degree in Environmental Management from the Imperial College of Science and Technology. He lives partly in Italy and partly in Pakistan.

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Grey Market Charcoal East Africa Why Prohibitionist Interventions Are Failing — Global Issues

Some people in parts of Uganda have depended on small-scale charcoal production for livelihoods, but the trade has been taken over by illicit charcoal traders. Credit: Wambi Michael/IPS
  • by Wambi Michael (kampala)
  • Inter Press Service

The sizes of Nabisubi’s measuring tins have been shrinking as charcoal gets scarcer and more expensive. While the price of charcoal is getting out of reach for some residents in Kampala, Nabisubi tells IPS that she may lose her only source of income if the situation persists.

“It is becoming difficult to find the suppliers of charcoal. We have been buying a bag of charcoal at ninety thousand shillings. The suppliers sell at one hundred and ten thousand shillings ($32). Sometimes I don’t get any stock, so I stay at home,” she said.

Charcoal is a popular source of cooking energy for urbanites in Uganda and most of East Africa. It also has immense social-economic importance, but it is getting scarce and expensive.

A household study by the Uganda Bureau of Statistics (UBOS) in 2021 found that charcoal provides the primary energy of up to 80% of Kampala’s population. While charcoal, wood, and other forms of biomass together provide more than 90% of the total primary energy consumed in Uganda.

Most of the charcoal supplies to Uganda’s capital Kampala, neighbouring municipalities, and districts have been from formerly war-torn Northern Uganda, but there has emerged pressure against it over environmental concerns.

In February this year, a former member of Parliament, Samuel Odonga Otto, and others mobilised vigilantes to enforce bans on charcoal burning and illegal trade in a region which has a tree cover relatively better compared to other parts of Uganda. The vigilantes would intercept trucks loaded with charcoal cutting off supplies to markets like Nakawa and others.

“Cutting (down) any trees should stop. It should stop if we are to protect our environment. You can see the rainfall patterns. We will not turn to politics; this is environmental,” said Odonga Otto.

As the vigilante group got more sympathizers, President Yoweri Museveni swiftly responded by issuing an order banning commercial charcoal trade in northern Uganda and districts bordering South Sudan and DRC and Kenya to the northeast of Uganda.

While the ban was celebrated by some in the region, a number of questions have emerged. What alternatives to charcoal? How can governments address the conflict between the charcoal ban versus lives and livelihoods?

Only 1.7 million of about 8 million households in Uganda are connected to grid electricity while small-scale charcoal burners, like Cypriano Bongoyinge, wondered how else to survive as the ban took effect.

Bongoyinge told IPS that traders from cities and towns should have been cut off because they were fueling large-scale production.

He told IPS that the traders from Kampala pay between $400-800 to clear an acre of land covered with trees and then hire labourers to burn into charcoal for transportation to the cities or across the borders.

Like Bongoyinge, Ceaser Akol, a politician based in Uganda’s northeastern district of Karamoja, told IPS that communities in the region were burning charcoal at a small-scale level, but they were invaded by large-scale commercial charcoal burners. “While the president came up with a ban, the challenge, as usual, is on enforcement and, of course, corruption.”

Denis Ojwee, a journalist based in northern Uganda’s Gulu city, told IPS that “Our ancestors used to use firewood for cooking but not charcoal. One tree cut for firewood would last longer. So fewer trees were cut for firewood than it is for charcoal.”

Ojwee said the war in northern Uganda may have saved the trees from unsustainable harvesting and that the times of peace have come with a negative impact on the region’s tree cover.

“As much as people died during the war, the environment got saved. But now, trees are getting finished. They have finished other types of trees now they are cutting shea nut trees (Vitellaria paradoxa). Rare species of tree which take very long to grow,”  said Ojwee.

Charcoal from Uganda’s Acholi and Karamoja regions is not only sold to cities in Uganda. It gets through the porous borders and is smuggled to Kenya and beyond.

The Wasteful Archaic Method of Making Charcoal

Charcoal in most of East Africa is produced under anaerobic conditions. That method cannot efficiently regulate the oxygen supply, leading to a lot of wastage.

Xavier Mugumya, a forestry expert, told IPS that the high demand for charcoal had escalated the levels of destruction of trees because people look at it as a source of income.

“If you take a thousand kilograms or a ton of wood and you want to convert it into charcoal using the methods which we normally see, you will only get 100 kilograms of charcoal. That means you are only able to utilize 10% of the original wood. Meaning that 90% of the trees go to waste and become carbon dioxide and ashes,” explained Mugumya.

Corruption and the Role of Organized Crime in the Charcoal Value Chain

The Global Initiative Against Transitional Crime 2021 released the findings of the study investigating the charcoal market in Kenya, Uganda, and South Sudan. It produced a report titled “Black Gold The charcoal grey market in Kenya, Uganda, and South Sudan”.

Michael McLaggan, one of the co-authors of the report, said they found what he described as “a classic grey market, where laws or regulations are flouted at some point in the value chain.”

“There are more organized criminal elements in the charcoal market. And while it is not pronounced in other trades such as drug trade or markets for animal parts, it is present,” said McLaggan

The report found that loose groupings headed by charcoal dealers or people with influence in charcoal value chains commission clandestine production of Charcoal to stay in the market.

Nyathon Hoth Mai, a South Sudanese Climate and natural resources expert, told IPS that small-scale charcoal is produced predominantly by the armed forces in South Sudan, while foreign traders were involved in large-scale production.

“We have seen a lot of traders that come from Sudan, Uganda, DRC, Ethiopia, and Eretria. And they exert a lot of pressure on forests. And then as well how this has the potential of corruption practices,” she said.

Can Charcoal Prohibitionist Policies Work? 

Kenya has since 2018 used sporadic bans on charcoal production. In Uganda, a number of bylaws against trade in charcoal have emerged, but there has not been a national moratorium. There exists a national moratorium in South Sudan on the export of Charcoal, but this has hardly been enforced.

The main shortcoming with prohibition, according to McLaggan, is that where there exists a commodity for which there is a sizable demand, that demand doesn’t disappear upon the commodity being outlawed.

“We noticed that when charcoal gets banned in a certain county, production shifts to another county. Or from one country to another country. So the problem is merely displaced,” he said

 Sustainability Interventions in the Charcoal Sector

At the end of March, the FAO released a study report, Are policies in Africa conducive to sustainability interventions in the charcoal sector? It assessed forestry, environmental and energy policies related to charcoal in 31 African countries.

The report found that more than half of the 31 countries assessed do not have policy frameworks that would encourage sustainable interventions in the charcoal sector.

In other countries, existing policies and regulations tended to be inconsistent and risk creating a confusing and unconducive environment to increase the sustainability of the sector.

The study found that five countries – Ghana, Kenya, Malawi, Rwanda and Uganda – provide favourable policy frameworks for interventions that would improve sustainability.

Another study, “Cross-border charcoal trade in selected East Central and Southern Africa Countries: A call for regional dialogue”, said although several governments in Africa have banned the cross-border trade of charcoal, making it effectively illegal, markets in border areas and beyond remain vibrant.

“Therefore, the issue of sustainable charcoal production and trade remain critical and must be addressed as part of broader efforts to manage forest-agricultural landscapes across national borders,” it suggested.

While policymakers and environmentalists lobby for change, those trying to make a living from it have uncertain futures.

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The Dark Side of Wind and Solar Farms as Sustainable Energy in Brazil — Global Issues

A view of the Canoas Wind Farm, owned by Neoenergia, the Brazilian subsidiary of Spain’s Iberdrola. Several wind farms with hundreds of turbines have already been built in the mountains of the Seridó mountain range, which vertically cross the state of Paraíba, in the Northeast region of Brazil, and are continuing to expand. CREDIT: Mario Osava / IPS
  • by Mario Osava (santa luzia, brazil)
  • Inter Press Service

Her story illustrates the ordeal of at least 80 families who decided to hire a lawyer to demand compensation from the company that owns the Ventos de Santa Brigida wind farm complex in Caetés, a municipality of 28,000 inhabitants in the state of Pernambuco, in the Northeast region of Brazil.

Dozens of other families affected by the proximity of the wind towers have not joined the legal action, largely because they fear losing the rental income from part of their land where one or more wind turbines have been erected.

The company pays them about 290 dollars for each wind tower, which represents 1.5 percent of the electricity generated and sold, according to Oliveira. Those who were not offered or did not accept the lease are left with the damage and no profits.

Built in 2015 by the national company Casa dos Ventos and sold the following year to the British corporation Cubico Sustainable Investments, the set of seven wind farms, consisting of 107 wind turbines 80 meters high, has a total installed capacity of 182 megawatts, enough to supply 350,000 homes.

The wind energy boom has intensified in recent years in Brazil’s Northeast region, which accounts for more than 80 percent of the wind electricity generated in the whole country.

Wind power boom

This expansion will be accelerated by plans to produce green hydrogen, which requires a large amount of renewable energy for electrolysis, the technology of choice. The region’s enormous wind and solar potential, in addition to its relative proximity to Europe, the great consumer market of green hydrogen, puts the Northeast in a strong position as a supplier of the so-called fuel of the future.

As a result, large energy projects are proliferating in the region, which is mostly semiarid and almost always sunny. The giant parks have triggered local resistance, due to the social and environmental impacts, which are felt more intensely in the Northeast, where small rural properties are the norm.

Brazil currently has 191,702 megawatts of installed capacity, including 53.3 percent hydroelectric, 13.2 percent wind and 4.4 percent solar. The goal is for wind, solar and biomass to contribute 23 percent of the total by 2030, with the Northeast as the epicenter of the production of renewable sources.

“We are not against wind energy, but against the way these large projects are implemented, without studying or avoiding their impacts,” Oliveira said. Renewable sources are not always clean and sustainable, say activists, especially movements led by women in the Northeast.

“Because they are considered low-impact, wind and solar farms obtain permits for implementation and operation more quickly and at a low cost, without in-depth studies,” said José Aderivaldo, a sociologist and secondary school teacher in Santa Luzia, a municipality of 15,000 inhabitants in the semiarid zone of the Northeastern state of Paraíba.

“But solar energy has a greater impact, it is more invasive. A wind farm has little impact on livestock, which do lose a lot of space to solar, more extensive in terms of the land it occupies,” he told IPS.

His field of observation is the Neoenergía company’s Renewable Complex, a project that combines wind power, with 136 wind turbines in the Chafariz complex in the mountains, and 228,000 photovoltaic panels in the Luzia Park on the plains. The former generates more electricity at night, the latter during the day.

In total, they cover 8,700 hectares in Santa Luzia and three other neighboring municipalities and can generate up to 620.4 megawatts, most of it – 471.2 megawatts – coming from the wind in the mountains. They can supply electricity to 1.3 million housing units and avoid the emission of 100,000 tons of carbon dioxide gas, according to the company, a subsidiary of Spain’s Iberdrola.

One of the impacts was a reduction in the local capacity for the production of cheap protein from livestock farming adapted for centuries to the local ecosystem, in addition to extracting rocks for the construction of wind towers and damaging local roads with trucks for their transport, lamented João Telésforo, an engineer and retired professor from the public Federal University of Rio Grande do Norte.

“Neoenergía carried out all the socio-environmental impact studies rigorously in accordance with the country’s current legislation and global best practices. The distance between the homes and the wind turbines is in compliance with the law,” the company responded to IPS in writing, in response to questions about criticism of its activities.

“In addition, it only leases the land, without purchasing it, which means people stay in their homes and in the countryside, and owners receive payments according to the contracts, with transparency, contributing to income distribution and local quality of life,” it added.

Local complaints

But Pedro Olegario, 73, laments that the remuneration has declined, explained by the company as a result of a drop in the energy generated. “The wind is still blowing the same,” he protested.

His wife, Maria José Gomes, 57, complains about the noise, even though the nearest wind turbine is about 500 meters away from their house. “Sometimes I can only fall asleep in the wee hours of the morning with the window tightly closed,” she said.

The couple lives on their share of a 265-hectare property, inherited and divided between the widow and 17 children of the previous owner, on one of the mountains of the Seridó range, part of Santa Luzia.

The 18 family members split the income from four wind towers installed on their land.

Not everyone is unhappy

On the other hand, Pedro’s brother Severino Olegario, 50, has a positive view of the Canoas Wind Farm, which also belongs to Neoenergia. The 2019 construction made it possible for him to open a restaurant to feed 40 technicians of the company who installed the mechanical components.

“I sleep despite the noise and the remuneration is low because we had to divide it among a very large family,” he said. He also improved the road, which brings tourists to his restaurant on Sundays, after the construction work ended, and slowed the local exodus of people from the region.

About 1,000 families used to live in the three communities up in the mountains, due to the high level of production of cotton. But the cotton boll weevil (Anthonomus grandis) plague in the 1990s destroyed the crop and the value of the land.

“Today there are less than a hundred families left,” said Severino, who continues to grow some of the food that he uses to serve meals at his restaurant.

His perspective differs from the picture described by Oliveira to IPS by telephone from her rural community, Sobradinho, in Caetés, the result of a wind farm authorized before the government’s Brazilian Environmental Institute issued new rules in 2014.

Damage and unfavorable contracts

“There are cases of allergies that we believe are caused by the dust from the wind turbine blades, which also contaminates the water we drink, as it falls on our roofs where we collect rainwater in tanks,” Oliveira complained.

The alternative would be to buy water from tanker trucks which “costs 300 reais (62 dollars ) – too expensive for a family with two children who only harvest beans and corn once a year,” she explained, adding that growing vegetables and medicinal herbs is impossible because of the polluted water.

In addition to the audible sound, vibrations, infrasound (considered inaudible), shadow flicker (the effect of rotating turbine blades causing varying brightness levels and blocking the sun’s rays) and microparticles cause symptoms of “wind turbine syndrome,” according to Wanessa Gomes, a professor at the public University of Pernambuco, who is researching the subject with colleagues from the Oswaldo Cruz Foundation, Brazil’s leading academic public health institution.

Local families have also been living in fear since a blade broke and fell with a loud bang. Many take medication for sleep and mental illness, according to Oliveira, whose testimony aims to alert other communities to the risks posed by wind energy enterprises.

On Mar. 16, she took her complaints to the Women’s March for Life and Agroecology, organized by the Polo de Borborema in Montadas, a municipality of 5,800 people, about 280 kilometers north of Caetés.

The Polo is a group of rural workers’ unions in 13 municipalities in the Borborema highlands in the state of Paraíba, whose windy mountains are coveted by companies.

The women’s movement, with the support of the non-governmental Consultancy and Services for Alternative Agriculture Projects, mobilized 5,000 women this year, in its fourteenth edition, the second one focused on opposition to wind farms.

“Our struggle is to prevent these parks from being installed here. If many families refuse to sign the contracts with the companies, there will be no parks,” Marizelda Duarte da Silva, 50, vice-president of the Rural Workers Union of Esperança, a municipality of 31,000 inhabitants in the center of Borborema territory, told IPS.

“The contracts are draconian, up to 49 years and renewable by unilateral decision of the company,” said Claudionor Vital Pereira, a lawyer for the Polo union. “They demand unjustifiable confidentiality, charge fines for withdrawing and make variable payments for the lease depending on the amount and prices of energy generated, imposing on the lessor a risk that should only be assumed by the company.”

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