Identifier
Created
Classification
Origin
05COLOMBO1050
2005-06-13 10:38:00
UNCLASSIFIED
Embassy Colombo
Cable title:  

SEVENTH SEMI-ANNUAL MEETING OF SOUTH ASIA

Tags:  PREL ENRG KSCA XD ECONOMICS 
pdf how-to read a cable
This record is a partial extract of the original cable. The full text of the original cable is not available.
UNCLAS SECTION 01 OF 03 COLOMBO 001050 

SIPDIS

AIDAC


MISSIONS FOR ECON OFFICERS AND USAID DIRECTORS
SECSTATE WASHDC FOR USAID/ANE BUREAU/DAAs, WALTER NORTH
AND MARK WARD; SA/DIR, ALONZO FULGHAM; SPO/DIR/LARRY
BRADY AND SUSAN FINE; DIR/TS, ANTHONY CHAN AND CINDY
LOWRY; EGAT/EIT/E GORDON WEYNAND;
STATE/SA/RA/DON CAMP; JOHN GASTRIGHT; AND ANISH GOEL;
DEPT. OF ENERGY/TOM CUTLER; AND DEPT. OF
COMMERCE/INTERNATIONAL TRADE
MANILA PLEASE PASS TO USED AT ASIAN DEVELOPMENT BANK

E.O. 12958: N/A
TAGS: PREL ENRG KSCA XD ECONOMICS
SUBJECT: SEVENTH SEMI-ANNUAL MEETING OF SOUTH ASIA
REGIONAL INITIATIVE FOR ENERGY (SARI/ENERGY)
CORRECTED COPY - PARAGRAPH NUMBERING

UNCLAS SECTION 01 OF 03 COLOMBO 001050

SIPDIS

AIDAC


MISSIONS FOR ECON OFFICERS AND USAID DIRECTORS
SECSTATE WASHDC FOR USAID/ANE BUREAU/DAAs, WALTER NORTH
AND MARK WARD; SA/DIR, ALONZO FULGHAM; SPO/DIR/LARRY
BRADY AND SUSAN FINE; DIR/TS, ANTHONY CHAN AND CINDY
LOWRY; EGAT/EIT/E GORDON WEYNAND;
STATE/SA/RA/DON CAMP; JOHN GASTRIGHT; AND ANISH GOEL;
DEPT. OF ENERGY/TOM CUTLER; AND DEPT. OF
COMMERCE/INTERNATIONAL TRADE
MANILA PLEASE PASS TO USED AT ASIAN DEVELOPMENT BANK

E.O. 12958: N/A
TAGS: PREL ENRG KSCA XD ECONOMICS
SUBJECT: SEVENTH SEMI-ANNUAL MEETING OF SOUTH ASIA
REGIONAL INITIATIVE FOR ENERGY (SARI/ENERGY)
CORRECTED COPY - PARAGRAPH NUMBERING


1. SUMMARY. THE SEVENTH SARI/ENERGY SEMI-ANNUAL REVIEW
MEETING WAS HELD IN COLOMBO, SRI LANKA ON JUNE 1-3, 2005.
A SARI/ENERGY SPONSORED REGIONAL ENERGY SECURITY REPORT
PREPARED BY INDEPENDENT EXPERTS IN THE REGION LAID OUT
RECOMENDATIONS AND ACTIONS FOR ADDRESSING REGIONAL ENERGY
SHORTAGES AND HEDGING THE RESULTING RISKS TO ECONOMIES.
ACTIONS INCLUDE BUILDING AND STRENGTHENING REGIONAL
COOPERATION AND TRADE, AND CREATING REGIONAL
INFRASTRUCTURE LINKAGES AS SUPPORTED BY THE SARI/ENERGY
PROGRAM. THE SARI-ENERGY COALITION, COMPOSED OF REGIONAL
BUSINESS LEADERS, LAUNCHED A FAVOURABLY-RECEIVED MEDIA
ROUND TABLE PROMOTING ENERGY REFORMS DEDICATED TO NEEDS
IN SRI LANKA. TOOLKITS THAT INCORPORATE WIND, SOLAR AND
MICRO-HYDRO RESOURCE INFORMATION ARE USED IN SRI LANKA
AND THE MALDIVES FOR PLANNING AND PROJECT PREPARATION
PURPOSES. THIS EXPERIENCE AND APPROACH WILL BE REPLICATED
IN AFGHANISTAN AND PAKISTAN. FIVE SARI/ENERGY SMALL
GRANTS RESULTED IN MODELS FOR ENERGY SAVINGS IN RICE
MILLING, CREATION OF TWO REGIONAL RESOURCE CENTERS,
RENEWABLE ENERGY OPTIONS AND COST-EFFECTIVE COMMUNITY
DISSEMINATED ENERGY/WATER CONSERVATION.

END SUMMARY.


2. THE SEVENTH SARI/ENERGY SEMI-ANNUAL REVIEW MEETING
WAS HELD IN COLOMBO, SRI LANKA ON JUNE 1-3, 2005. IN
TOTAL 68 PARTICIPANTS ATTENDED OF WHICH 28 WERE HOST
COUNTRY STAKEHOLDERS FROM AFGHANISTAN, BANGLADESH,
BHUTAN, INDIA, MALDIVES, NEPAL, PAKISTAN AND SRI LANKA.
OTHER ATTENDEES WERE REPRESENTATIVES FROM USAID
WASHINGTON AND SOUTH ASIA FIELD MISSIONS, STATE
DEPARTMENT AND U.S. EMBASSIES IN SOUTH ASIA, U.S.
DEPARTMENT OF ENERGY, WORLD BANK, AND IMPLEMENTING
CONTRACTORS AND GRANTEES.


3. THE MAIN THEMES OF THIS MEETING INCLUDED;
(A) REVIEW OF IMPLEMENTATION PROGRESS UNDER PARTNER

WORK PLANS
(B) STATUS OF PROGRAM EXPANSION TO PAKISTAN AND
AGHANISTAN
(C)FUTURE DIRECTIONS IN PROGRAM PLANNING AND
GOVERNANCE


4. HOST COUNTRY STAKEHOLDERS IN THEIR FEEDBACK REGARDING
PROGRAM ACHIEVEMENTS OF SARI/ENERGY WERE UNANIMOUS THAT
THEIR COUNTRIES NOW ENJOY MORE OPEN, COLLEGIAL AND
AND
PRODUCTIVE DIALOGUES ON ENERGY TRADE, SECURITY, AND
REFORM. STAKEHOLDERS BETTER UNDERSTAND THE FACTS AND
ISSUES NOW AND ARE TAKING OWNERSHIP OF, AND
RESPONSIBILITY FOR, THE PROBLEMS THAT THE REGION FACES IN
MOVING FORWARD WITH ENERGY COOPERATION AND DEVELOPMENT.


5. ILLUSTRATIVE EXAMPLES OF RESULTS THAT WERE DIRECTLY
LINKED TO SARI/ENERGY INTERVENTION INCLUDED THE SIGNING
OF A MEMORANDUM OF UNDERSTANDING BETWEEN BANGLADESH AND
INDIA ON TRANSIT OF NATURAL GAS, IN WHICH INDIA AGREED TO
ALLOW BANGLADESH THE ACCESS TO BHUTAN AND NEPAL
HYDROPOWER SUPPLIES THROUGH ITS TERRITORY - A WIN-WIN
STRATEGY FROM AN EARLIER SARI/ENERGY PRE FEASIBILITY
REPORT. ANOTHER EXAMPLE WAS THE ACCEPTANCE AND
IMPLEMENTATION BY THE SRI LANKAN GOVERNMENT OF A
SUSTAINABLE GUARANTEE FUND FOR ENERGY EFFICIENCY
PROMOTION BY THE PRIVATE SECTOR AS RECOMMENDED BY A
SARI/ENERGY REPORT. THE GOVERNMENT OF SRI LANKA ALREADY
PROVIDED INITIAL FUNDING AND OTHER DONORS ARE CONSIDERING
CONTRIBUTIONS. THERE WERE MANY OTHER RESULTS DISCUSSED
OVER THE COURSE OF THE EVENT.


6. CONTRACTORS AND GRANTEES OF SARI/ENERGY, NEXANT INC.,
U.S. ENERGY ASSOCIATION, U.S. CHAMBER OF COMMERCE,
WINROCK INTERNATIONAL, AND U.S. NATIONAL RENEWABLE ENERGY
LABORATORY PRESENTED THEIR ACCOMPLISHMENTS AND LESSONS
LEARNED AND PROVIDED ILLUSTRATIVE FOLLOW-ON ACTIVITIES.
EMPHASIS WAS ON ENGAGEMENT WITH THE NEWEST MEMBERS OF THE
PROGRAM - AFGHANISTAN AND PAKISTAN. FOLLOW - ON
ACTIVITIES PLANNED BY THE PARTNERS INCLUDED POWER
WHEELING TRADE ANALYSIS; ESTABLISHMENT OF DISTRIBUTION
UTILITY BENCHMARKS; CAPACITY BUILDING ON REFORMS, UTILITY
MANAGEMENT AND RENEWABLE ENERGY;CONTINUATION OF
PARTNERSHIPS TO STRENTHEN INTER-COUNTRY DIALOGUES ON
REFORMS, REGULATION AND UTILITY MANAGEMENT;CREATING AN
ENABLING ENVIRONMENT FOR GRID CONNECTED WIND AND
FACILITATION OF RURAL ENERGY PROJECTS. PLANNED ACTIVITIES
ON POLICY AND ADVOCACY EFFORTS INCLUDE DEVELOPING POLICY
PAPERS, ORGANIZING MEDIA ROUND TABLE EVENTS AND AWARENESS
CAMPAIGNS ON REFORMS, REGIONAL ENERGY MARKETS AND
FINANCING, CROSS BORDER ENERGY TRANSFER, AND POWER
QUALITY AND RELIABILITY.


7. A SARI/ENERGY SPONSORED REGIONAL ENERGY SECURITY
REPORT PREPARED BY INDEPENDENT EXPERTS IN THE REGION LAID
OUT RECOMMENDATIONS AND ACTIONS FOR ADDRESSING REGIONAL
ENERGY SHORTAGES AND HEDGING THE RESULTING RISKS TO
ECONOMIES. THESE ACTIONS INCLUDED BUILDING AND
STRENGTHENING REGIONAL COOPERATION AND TRADE, AND
CREATING REGIONAL INFRASTRUCTURE LINKAGES SUPPORTED BY
THE SARI/ENERGY NETWORKS. THE REPORT IDENTIFIED ISSUES
WHICH NEED TO BE ADDRESSED IN THE CONTEXT OF REGIONAL
ENERGY SECURITY, SUCH AS THE ESTABLISHMENT OF LARGE
ENERGY PROJECTS WITH REGIONAL SCOPE AND IMPACTS,
IMPLEMENTING A REGIONAL PROCUREMENT STRATEGY FOR
PETROLEUM PRODUCTS AND A STRATEGIC REGIONAL PETROLEUM
RESERVE, ESTABLISHING A REGIONAL FACILITY FOR TRAINING
AND EQUIPMENT TESTING, DEVELOPING AND EXPANDING RENEWABLE
TECHNOLOGY APPLICATIONS,AND EXCHANGE OF INFORMATION ON
NEW TECHNOLOGIES INCLUDING CLEAN ENERGY, RENEWABLES AND
HYDROGEN FUEL. IN ORDER TO FACILITATE THE ACTIONS, THE
EXPERTS RECOMMENDED ACTIVITIES SUCH AS: SETTING UP A
REGIONAL INSTITUTION WHICH WOULD FOCUS ON AND TAKE ACTION
ON SOUTH ASIAN ENERGY SECURITY; ESTABLISHING DEVELOPMENT
FINANCES TO PROMOTE INTER-COUNTRY INVESTMENT AND JOINT
VENTURE INVESTMENTS; ORGANIZING INTER-GOVERNMENTAL
COMMITTEES/WORKING GROUPS TO PROMOTE REGIONAL ELECTRICITY
AND NATURAL GAS GRIDS; AND DEVELOPING A MASTER PLAN FOR
THE RATIONAL UTILIZATION OF HYDROELECTRIC RESOURCES OF
THE REGION.


8. THE SARI-ENERGY COALITION, COMPOSED OF REGIONAL
BUSINESS LEADERS, LAUNCHED A FAVOURABLY-RECEIVED CAMPAIGN
AND A MEDIA ROUNDTABLE FOCUSED ON THE NEED FOR PUBLIC
PRIVATE PARTNERSHIPS TO PROMOTE REFORMS IN SRI LANKA.
THE SARI/ENERGY REGIONAL ENERGY PARTNERSHIP PROGRAM
REPORTED SUCCESS OF THE REGULATORY PARTNERSHIP IN
CREATING A CADRE OF KNOWLEDGEABLE REGULATORS IN THE
REGION AFTER INTERACTION WITH THEIR U.S. AND SOUTH ASIAN
COUNTERPARTS. SUCCESSES WERE REALIZED IN THE MEDIA
PARTNERSHIP THROUGH BETTER REPORTING ON THE IMPACTS OF
GOOD ENERGY GOVERNANCE, SUCH AS, HIGHLIGHTING THE
BENEFITS OF PUBLIC-PRIVATE PARTNERSHIPS IN SRI LANKA AND
THE IMPORTANCE OF THE REFORMS OF THE CEYLON ELECTRICITY
BOARD TO ATTRACT INVESTMENT. PLANS ARE UNDERWAY TO
DEVELOP A PARLIAMENTARIAN PARTNERSHIP TO IMPROVE THE
QUALITY AND RELAVANCE OF ENERGY LEGISLATIVE ACTIONS IN
SOUTH ASIA BY SHARING THE EXPERIENCES OF PARLIAMENTS IN
SOUTH ASIA AMONG THEMSELVES AND WITH THE UNITED STATES
CONGRESS AND STATE LEGISLATORS.


9. THE COMPLETION OF FIVE OF THE 34 SMALL GRANTS
AWARDED BY SARI/ENERGY HAS RESULTED IN MODELS FOR ENERGY
SAVINGS IN RICE MILLING, CREATION OF TWO INTERNET BASED
REGIONAL RESOURCE CENTERS ON ENERGY EFFICIENCY MANAGED BY
THE SRI LANKA ENERGY MANAGERS ASSOCIATION (SLEMA),ENERGY
SECTOR REGULATION MANAGED BY THE ADMINISTRATIVE STAFF
COLLEGE OF INDIA (ASCI),RENEWABLE ENERGY OPTIONS AND
COST-EFFECTIVE COMMUNITY DISSEMINATED ENERGY/WATER
CONSERVATION. THE PROCESS OF SELECTING 3-5 PROPOSALS FOR
AFGHANISTAN AND PAKISTAN IS UNDERWAY.


10. TOOLKITS THAT INCORPORATE WIND, SOLAR AND MICRO-
HYDRO RESOURCE INFORMATION FOR PLANNING AND PROJECT
PREPARATION PURPOSES ARE USED IN SRI LANKA AND THE
MALDIVES. THIS EXPERIENCE AND APPROACH WILL BE REPLICATED
IN AFGHANISTAN AND PAKISTAN TO CREATE RURAL ENERGY
PLATFORMS TO PROVIDE ELECTRICITY TO REMOTE VILLAGES.


11. THE INTERNAL USG AND PARTNERS DISCUSSION ON THE
FINAL DAY FOCUSED ON THE UPCOMING PROGRAM REVIEW. THE
EXTENSIVE USE OF LOCAL CONSULTANTS AND EXPERTS WAS
HIGHLIGHTED; OPTIONS FOR THE LOCATION OF THE PROGRAM AND
MANAGEMENT STRATEGIES WERE CONSIDERED; MECHAMISMS TO
PROMOTE TRANSFER OF KEY MESSAGES TO WASHINGTON D.C. WILL
BE REVIEWED AND IMPROVED; AND A REVIEW OF SARI/ENERGY
INPUTS IN RELATION TO MISSION NEEDS WILL BE UNDERTAKEN TO
ENSURE THAT DUPLICATION IS AVOIDED AND VALUE IS ADDED.
REPRESENTATIVES OF AID/WASHINGTON AGREED ON THE NEED FOR
USG INVOLVEMENT IN THE ENERGY SECTOR IN SOUTH ASIA, AND
ALIGNMENT OF PROGRAM GOALS AND OBJECTIVES WITH U.S.
FOREIGN POLICY INTERESTS.


12. THIS CABLE HAS BEEN CLEARED BY USAID AND/OR EMBASSY
REPRESENTATIVES FROM ALL PARTICIPATING POSTS.

ENTWISTLE