Abstract

Energy efficiency and conservation policy continues to take the proverbial “backseat” to energy access and renewable energy policy discourses in small island developing states (SIDS). In this study, we intend to motivate the energy efficiency policy agenda to encourage more action. To do so, we review the current energy challenges in SIDS and the role of energy efficiency in addressing those challenges, discuss the trends in the rate of improvement in energy efficiency in SIDS, exhibit an updated list of energy efficiency programs and initiatives being implemented in SIDS, consider barriers to energy efficiency implementation and set forth a policy-focused plan to accelerate action. Barriers for the adoption of energy efficiency policies continue to be institutional and policy- and governance-oriented; economic and financial; informational; and technical. A four-pronged policy advancement approach tackling initiation, incentivization, information and investment is recommended to tap the potential gains from energy efficiency. We attempt here, based on our findings, to offer a more practically executable plan of action, focusing squarely on combining institutional arrangements, policy requirements and current energy efficiency affairs in SIDS.

Highlights

  • Energy efficiency policy in many developing countries is still considered secondary to energy access and security and this status quo is acute in small island developing states (SIDS) (A list of SIDS can be found here: https://sustainabledevelopment.un.org/topics/sids/list, accessed on 2 June 2021)

  • Better funding mechanisms for SIDS would be a small fee on transportation fuel (Mauritius has levied a 0.6% tax on gasoline to fund renewable energy and an energy efficiency development, which was eliminated in June 2018) or a decrease in the allocation of subsidies for fossil fuels (95% of electricity is subsidized in Fiji and a slightly lower subsidy could be injected into energy efficiency projects) [13]

  • For example, enterprises have found their applications for retrofitting and other energy efficiency projects rejected when they were unable to provide for collateral, even though the projects were of high technical quality and could provide significant savings to pay back loans [23]

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Summary

Introduction

Energy efficiency policy in many developing countries is still considered secondary to energy access and security and this status quo is acute in small island developing states (SIDS) Most SIDS have a negative balance of payments, depending mostly on imports for energy, technology and numerous commodities. They have small domestic markets and limited ability to achieve economies of scale; economic sectors are relatively constrained. The recent upsurge of studies on SIDS energy challenges in the academic literature attests to the growing attention being paid to issues of energy policy, though research gaps still exist and more efforts are required for this group of countries to accelerate renewable energy development [2].

Energy Challenges and the Role of Energy Efficiency
Are SIDS on Track in Developing Energy Efficiency?
Renewable
Energy Efficiency Initiatives in SIDS
Example a “Tip
Barriers to Energy Efficiency Implementation in SIDS
Economic and Financial Barriers
Information and Behavioral Barriers
Plan of Action—Addressing Energy Efficiency Barriers through Governance
Limitations
Findings
Conclusions
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