Procurement to Renewable Energy and Energy Efficiency Action Plans in São Tomé and Príncipe

The Global Environment Facility (GEF) funded project “Strategic program to promote renewable energy and energy efficiency investments in the electricity sector of São Tomé and Príncipe" is implemented by UNIDO in partnership with the Ministry of Public Works, Infrastructure, Natural Resources and Environment (MOPIRNA), both ALER’s partners.

As a Small Island Developing State, STP faces specific challenges in relation to its size, remoteness from large markets, dependence on a small number of economic sectors, direct investment and remittances inflow, lack of resources and a significant trade deficit. Moreover, key sectors of the economy are highly vulnerable to natural, climate, and external economic shocks.

The GEF/UNIDO project contributes to the Vision 2030 “São Tomé and Príncipe 2030: the country we need to build", which aims to transform the country into a climate-resilient and vibrant island hub for blue economy business, financial services and tourism, benefitting from the growing regional market of the Economic Community of Central African States (ECCAS).

This project is also part of the joint UN efforts to support the graduation of STP from the list of least developed countries (LDCs) by 2024. Faced with a situation of constrained fiscal policy, the Government aims to create the conditions to allow the private sector to become an engine of growth, economic diversification and poverty reduction. The focus lies on improving the business climate, promoting foreign direct investment and improving key social and economic infrastructure, including energy.

To complement the Least Cost Power Development Plan, UNIDO supports DGRNE to develop a holistic sustainable energy vision through a National Renewable Energy Action Plan (NREAP) and a National Energy Efficiency Action Plan (NEEAP). The well-integrated policies will consider urban and rural contexts, the electricity and heat dimensions, and important cross-sectoral policies (e.g. climate mitigation/adaptation, trade, education/research, buildings, transport, tourism, health, agriculture, fishery and other blue economy sectors – e.g. ports and shipping).

The NREAP/NEEAP will be an important contribution to the national energy policy of STP, which will be developed by the Government in near future. The NREAP/NEEAP will include quantifiable and feasible overall targets and sub-targets (by sector, thematic area and/or technology) by 2030 and 2050. A set of concrete and attainable policy actions to boost the market demand and supply for RE&EE products and services will be proposed. The NREAP/NEEAP will consider important cross-cutting areas such as gender, vulnerable groups and local private sector participation in the expanding local and regional RE&EE value chains.