[Title] Green Energy Pledge: Green Energy Zones and Corridors

Background

At COP 28, the heads of state and governments committed to tripling the world's installed renewable energy generation capacity to at least 11,000 GW by 2030, taking into consideration different starting points and national circumstances, and collectively doubling the global average annual rate of energy efficiency improvements from around 2% to over 4% every year until 2030, and putting the principle of energy efficiency as the "first fuel" at the core of policymaking, planning, and major investment decisions.

Green Energy Zones

Green energy zones act as centralized hubs, where sustainable energy generation is maximized by combining high-quality variable renewable energy resources, renewable energy infrastructure and storage. Green energy zones are being developed across the globe in different countries as "green energy hubs" to promote economic growth and investments in designated regions/cities/areas, to create job opportunities and to foster green energy transition through deployment of climate friendly and energy efficient technologies.

- Promotion of efficient use of natural resources: Green energy zones can play a pivotal role in the transition to sustainable energy systems by concentrating renewable energy projects in specific areas. These zones are designed to optimize the use of natural resources such as sunlight, wind, water and geothermal heat, significantly enhancing the efficiency and effectiveness of renewable energy generation. Concentrating renewable energy projects in specific zones helps to reduce the reliance on fossil fuels, lowering greenhouse gas emissions and mitigating climate change. It also minimizes the environmental impact by limiting the spread of infrastructure across vast areas.

- Stimulating investment and economic viability: Green energy zones serve as strategic free trade areas, while harnessing renewable energy and fostering eco-industrial development. Green energy zones attract investments through targeted incentives and policies, thus making sustainable energy projects financially viable and enhancing grid stability and energy security.

- Sustainable economic growth and job creation: Green energy zones can play a pivotal role in job creation and economic growth through the development of eco-industrial parks. Depending on the specificities of a green energy zone, the interventions could target among others the decarbonization of transport (incl. electric mobility), and eco-tourism. These areas could become destinations for eco-tourism, attracting visitors interested in sustainable travel and nature-based experiences. The local tourism industry's energy needs are met sustainably, while strengthening local communities through jobs creation.

- Developing infrastructure and enhanced energy efficiency applications: Developing green energy zones can lead to improvements in local infrastructure, such as better roads, grid connections, and energy storage solutions. This enhanced infrastructure supports both the energy projects and the local communities. Green energy zones represent a strategic approach to advancing renewable energy deployment, supporting economic development, and contributing to environmental sustainability. Energy efficiency applications in green energy zones are crucial for maximizing the benefits of renewable energy sources. These applications focus on reducing energy consumption, optimizing energy use, and integrating advanced technologies to enhance the overall performance of the energy systems within these zones.

Green Energy Corridors

Green energy corridors serve as a tool to enable energy transition and sustainable development. While there is no strict definition of green energy corridors, many existing and planned connectivity projects have been conceived of with the explicit goal of increasing the share of renewable energy power in the electricity network.

- In many instances renewable energy generation is situated in remote locations, far away from the intended consumption centres, and often across national borders. Advances in High Voltage Direct Current (HVDC) transmission lines allow for the cost-effective and secure transmission of electricity over large distances with minimal losses. The use of HVDC transmission lines is relatively widespread in Europe. For example, the German Government initiated major transmission grid extensions with the SuedLink and SuedOstLink projects. These projects recognize the importance of both cross-border and domestic connectivity, increasing capacity to transmit renewable energy power across the country while also enabling increased trade with Norway via the NordLink sub-sea HVDC cable. The United Kingdom has developed HVDC interconnectors with Belgium, Denmark, France, the Netherlands and Norway. China has deployed more HVDC and Ultra HVDC (UHDVC) transmission lines than any other country, primarily to deliver electricity (including from renewable energy resources) from the western part of the country to large consumption centers in the east. HVDC transmission lines are being upscaled in India, for example with the assistance of GIZ and the KfW development bank and the current project is expected to be completed by 2027, and through investments by private developers such as Adani Transmission and Sterlite Power, including a 5 GW transmission line commissioned to transmit wind and solar power from Gujarat to the rest of India, and a proposed a ‘green power corridor' project connecting India and The Gulf Coordination Council. Singapore is collaborating with neighbouring countries to import green energy and already imports 100MW in hydropower from Laos, via Thailand and Malaysia. Additionally, there are plans to import 1 GW of clean electricity from Cambodia, an initiative that will further support Singapore's long-term objective of importing up to 4 GW of low-carbon electricity by 2035.

- CASA-1000 is an ambitious renewable energy infrastructure construction project that will bring 1,300 megawatts of surplus electricity from Central Asia to high demand electricity markets in South Asia through new energy infrastructure.

- Important developments are underway to establish the Caspian-Black Sea-Europe green energy corridor which will connect Azerbaijan, Georgia, Romania and Hungary with purpose of exporting in the first phase 4 GW of green electricity and green gases to Europe mainly utilizing the offshore wind potential of the Caspian Sea. As part of the wider EU efforts to diversify and decarbonize its energy mix, the EU is eager to benefit from the low-carbon electricity generated from planned Caspian Sea windfarms.

- Good progress achieved in development of Central Asia-Azerbaijan green energy corridor and transmission of green energy. Azerbaijan, Kazakhstan and Uzbekistan have finalized draft of the relevant Intergovernmental Agreement. Central Asia is a diverse region rich in natural resources and with vast potential to develop large scale renewable energy projects. Whilst there are several minor projects related to geothermal and hydro power, renewable power development has largely taken shape in the form of solar and wind energy. Notably, for the latter, offshore wind sites for countries bordering the Caspian Sea have enormous potential for RE production. Increased connectivity among the countries of Central Asia and the Caucasus and beyond could enable the development and integration of these projects by increasing the number of potential off-takers and increasing system flexibility.

- The implementation activities are underway for the development of a Green Energy Corridor from Azerbaijan through Türkiye to Europe. The Project has two main components – the development of a Green Energy Zone in Nakhchivan and the export of green electricity to Türkiye. The planned export capacity for the first phase is 1 GW. A tender process has been launched to find a consulting company for the preparation of the feasibility study.

The COP29 Presidency has developed this initiative in partnership with UNIDO, UNECE and UNESCAP.