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FAO/UNEP/UN-Energy Bioenergy Decision Support Tool -
MODULE 3: Implementation and Operation
In moving towards implementation, it becomes necessary to
make an assessment of capacities and resources that are needed
to implement the various elements of the strategy, which might
include:
• Evaluation of public administrative and organisational
capacity to address strategic priorities;
• Analysis of investment and fnancing options for the identifed
technology platforms;
• Review of the scope and relevance of existing legal and
regulatory framework;
• Assessment of necessary commercial support systems, e.g.
Technology providers, marketing;
• Availability of advisory services, e.g. Private and public
extension providers, fnancial advisers, business development
consultants;
• Develop a measurement, reporting and evaluation strategy
- including the identifcation of the existing or new bodies or
agencies that will be responsible.
Measurement, Reporting and Evaluation relates to almost all
aspects of implementation – policies, programmes, projects and
any associated supporting mechanisms; it is discussed in more
detail in the fnal section of this Module.
Establishing Legal and Regulatory
Frameworks
Some key questions that should be addressed as legislation is
developed, refned and implemented include the following (FAO,
2009):
• Are legal arrangements adequate to support government
policies and targets for bioenergy?
• Are there appropriate market regulations and incentives to
boost production and consumption of bioenergy?
• Have legislative measures been taken to ensure that
cultivation of energy crops to produce biofuels does not have
adverse impacts on food security?
• Are social and environmental implications of competing land
uses adequately addressed?
• How can bioenergy legislation strengthen the legal framework
applicable to deforestation, biodiversity, greenhouse gas
emissions and introduction of alien species?
• Are appropriate procedures in place for assessing
environmental impacts of bioenergy projects and ensuring
stakeholder participation?
Is the institutional framework adequate and are there
appropriate mechanisms for inter-institutional coordination?
The various legal, regulatory and institutional aspects are
discussed briefy in the sections below, while the impacts are
addressed in a different module:
<Mod8-Impacts>.
FRAMEWORK LEGISLATION
When a major role is envisioned for bioenergy and the strategy
represents a signifcant departure from the previous legal and
institutional basis for bioenergy markets, there will naturally
be signifcant implications for future energy and environmental
policy in the country or region. In such cases, some type of
framework legislation may be the most effective way to present
the strategy and give it some “teeth” in its eventual implemen-
tation. Framework legislation for particular sectors relevant to
bioenergy is already common in many countries, especially
for forests, agriculture, environmental protection, transport
and energy. Because bioenergy cuts across many sectors,
separate framework legislation can be challenging; therefore
some countries and/or regions have chosen to incorporate their
framework legislation into renewable energy legislation or general
energy policy legislation.
BIOENERGY TARGETS
One way to strengthen the value of legislation is to establish
specifc targets for bioenergy overall and/or in different
sectors, normally represented as a percentage of total energy
consumption or production. A useful approach can be to create
bioenergy targets within the context of Nationally Appropriate
Mitigation Actions (NAMAs) initiated as a result of the Bali Action
Plan (UNFCCC, 2011), which can in turn provide an improved
international basis for linking the bioenergy strategy to climate
policy. The experience in the EU shows that voluntary targets
tend to provide insuffcient incentive, even when there are
supporting mechanisms; only two Member States (Germany and
Sweden) reached the interim biofuels targets for 2005 that were
established in the EU Biofuels Directive, and as a result mandatory
targets were recommended in the future (EC, 2007). The recent
EU Renewable Energy Directive (RED) also represents the most
extensive pan-national effort to promote renewable energy and
goes much further than previous efforts in terms incorporating
implementation elements directly in the legislation, in this case
relying on mandated targets and other requirements (EC, 2009).
Although policies such as renewable energy targets and feed-in
Table 6: Implementation modes and related support mechanisms
Technology
Market/ Fiscal support Regulation
Organisational
Identifying key
options
Which technology will
be preferred under
what circumstances?
To which market is the
product destined?
Local, national, export, etc.
What instruments will be
used to regulate?
Licensing
Certifcation
Mandates
What organisation or agency
will house and implement the
policy?
Supporting
Mechanisms
How will technology
choice be supported?
Grants, research,
micro credit schemes,
reduced import tariffs,
etc.
What support is required
to ensure it reaches its
intended markets?
Infrastructure, trade
agreements, certifcation,
import restrictions, etc.,
Incentives : Grants, taxes,
subsidies, fuel charges, etc.
How to use regulation to
support certain activities
Adjusting licensing and
certifcation systems
What additional capacity
is needed in the country to
implement
Skilled biofuels experts,
extension offcers, regulatory
bodies, etc.