| Project Detail |
The energy transition support program is financed within the framework of the Development-Climate-Energy Indicative Cooperation Program, which is designed as Luxembourgs response to support Cabo Verdes socio-economic and environmental development policies and strategies during the period 2021–2025. Cabo Verde has excellent conditions for using renewable energy, particularly wind and solar power . The potential of ocean, geothermal, and other energy sources remains to be explored. Due to Cabo Verdes insularity and small market size, imported fossil fuels are expensive, making renewable energy sources, which are endogenous and relatively well distributed across the islands, economically competitive. In line with Sustainable Development Goal 7 and Cabo Verdes Energy Sector Master Plan 2018–2040, the Energy Transition Support Programme has the long-term objective of universal access to clean and affordable energy . The programme aims to transform the way energy is produced and consumed, while promoting social cohesion and inclusion, as well as economic competitiveness. Concretely, the program: promotes/encourages micro-generation of electricity from renewable sources; facilitates the increase in the share of renewable energies in the mix of electricity produced; contributes to improving energy efficiency (in terms of energy consumption in the residential and non-residential sectors, and in terms of losses); and strengthens sector governance. All the islands of the archipelago are covered and the population of Cabo Verde as a whole benefits from it. The program is also expected to help the Government of Cabo Verde reduce greenhouse gas emissions by 25% by 2030, in line with the commitments made in its Nationally Determined Contribution, updated in April 2021. Building on the achievements of previous interventions, the capacity-building strategy, as a pillar of the program, consolidates the sectoral reform underway. At the national level, within the framework of sector governance, the intervention focuses on the professionalization of energy services with the National Directorate of Industry, Trade and Energy and the Multisectoral Economic Regulatory Agency. Similarly, an appropriate capacity-building strategy is being developed to support public and private stakeholders. Institutional reform, particularly the legal and regulatory framework, recognizes the private sector as the main agent of change in the energy sector. The realization of the right to energy, that is, the right of access and the right of use, implies greater gender equality in the sector, social inclusion and the principle of leaving no one behind. |
