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Engaging The Diaspora Conference: Cluster Report Back

Engaging The Diaspora Conference: Cluster Report Back. Economic Development & Investment By Max Gomera and ShamisoMapanga. Outline. Energy ICT. Significant findings and issues. Zimbabwe has set an ambition of 5% GDP Growth

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Engaging The Diaspora Conference: Cluster Report Back

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  1. Engaging The Diaspora Conference:Cluster Report Back Economic Development & Investment By Max Gomera and ShamisoMapanga

  2. Outline • Energy • ICT

  3. Significant findings and issues • Zimbabwe has set an ambition of 5% GDP Growth • Growth areas likely to be mining, tourism agriculture and manufacturing • Growth from from at least two areas limited both in terms of the distributive aspects of the wealth and potential for driving development. • Growth is limited by weak energy sector • National power demand estimated at 2,000 to 3,200MW • Installed Capacity approximately 1,200MW • Available generation capacity approximately 1,000MW • Effective deficit approximately 1,900MW • With refurbishment of Hwange, Munyati, Harare and Kariba, available generation might reach 1,650MW by 2015

  4. Findings and Issues • Economy largely dependant on Coal, Hydro and Imports for energy • Climate change limits the potential for coal (in terms of securing investment and pressures on emissions) • GRID sources have Limited Opportunity to power rural areas • Economy is not liquid, less money for investment • Where are the new areas for innovation? • Renewable energy presents a development opportunity aimed at creating a new driver for economic growth; new sources of employment and consistent solutions for the improvement of environmental quality based on the recognition of the interdependence of environment and economy

  5. Why renewable Energy Technological advances have made renewable energy a realistic option Price on Carbon making coal a less attractive investment option in the future Imports from neighboring countries uncertain as they face own internal demands Provides an opportunity for increased job opportunities, wealth and health opportunities Diaspora can make a contribution

  6. Recommendation:Constructing the Agenda… • Use of Economic Instruments • Feed In Tariffs for Renewable energy • Creating a market for renewable energy and increasing the number of producers Rewarding green production and creating a green market • Accessing Global Financing • Clean Development Mechanism • Reducing Emissions from Degradation and Deforestation • Adaptation Funds • Green Economy Credit Line • Support to Small and Medium Enterprises from local and international financiers • Stimulus money, loan guarantees, grant programs

  7. Constructing the Agenda… • State programs for sustainable energy use • Reduced taxes for green technologies • Develop policies to guide sustainable construction • Challenge the assumption of connection to ZESA • Solar Water Heaters? • Support to local research capacities • Tech innovation will allow for production cost reductions and installation cost reductions in the long run

  8. Kenya – Feed-in Tariffs Job Creation (200,000 farmers) Enhancing competitiveness (5-6m factories) Enhancing energy security (500MW) Coping with fuel scarcity and price Environmental Integrity Reducing fuel dependence “TRIPLE WIN” FTI Aspects Expected Benefits + ten-year power purchase agreement US Cents 6.0/ kWh • Facilitate resource mobilization • Reduce transaction costs • Encourage private investors Observed Impacts on Mumias Sugar Company FTI Policy

  9. Opportunities and Role for Diaspora Involvement • Zimbabwe’s energy investment profile developed • Definition of Zimbabwe’s investment ‘profile’ • Collate baseline info on energy, assist in developing a long term investment profile and funding mobilisation • Assisting to Mobilise Funding for Energy investment • Most funding now in private hands, and often not publicly accountable • Need for new brokering and a new paradigm shift • Identification of global funding sources and articulation of how to access them (Clean Tech funds; Foundations; Pvt Sector) • Defining instruments for Mobilisation of diaspora financial resources • Brokering Partnerships • Research and Development

  10. Recommendations • Use of Economic Instruments • Feed In Tariffs for Renewable energy • Creating a market for renewable energy and increasing the number of producers Rewarding green production and creating a green market • Accessing Global Financing • Clean Development Mechanism • Reducing Emissions from Degradation and Deforestation • Adaptation Funds • Green Economy Credit Line • Support to Small and Medium Enterprises from local and international financiers • Stimulus money, loan guarantees, grant programsState programs for sustainable energy use • Reduced taxes for green technologies • Develop policies to guide sustainable construction • Challenge the assumption of connection to ZESA • Solar Water Heaters? • Support to local research capacities • Tech innovation will allow for production cost reductions and installation cost reductions in the long run

  11. Summary of Programmes

  12. Engaging The Diaspora Conference:Cluster Report Back Economic Development & Investment (ICT ) By Nigel Daura

  13. Significant Findings & Issues Discussed • ICT does not contribute meaningfully in GDP • Low or no investment in ICT infrastructure in the past 5-10 years • Serious skills flight resulted in skills shortage • Conflict on the boundaries of the ICT • High Internet tariffs • Outdated regulatory framework • Huge power deficit and outages • Lack of Awareness , cyber crime • Erratic mobile line connectivity – 2 to 3 lines per person • Long outstanding requests for landline applications • Lack of Information for investors – Websites presence very low

  14. Significant Findings & Issues Discussed (cont.) Min of ICT setup March 2009 ICT Readiness Survey 2006 ICT Policy framework launched 2007 ICT Bill currently being tabled Computer Society of Zimbabwe for ICT professionals Computer Suppliers Association of Zimbabwe for ICT players National Economic Consultative Forum (NECF) ICT Task Force Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) was formed by an Act of Parliament [Chapter 12:05] of 2000 currently residing in the ministry of telecomms

  15. Conclusions • ICT cross cuts all sectors and is an enabler for economic development • The fibre optic backbone is now in place • We now need to consider projects that will make full use of the network and contribute to economic development • An ICT Act of Parliament which resides under one Ministry

  16. Recommendations • Development of government information sharing systems and websites • Website that will enable us to interact with the Diaspora and maintain a database of available skills • DFZ to facilitate the crafting of an ICT policy framework and best practice • Raising ICT awareness • Explore opportunities in the public sector ICT Parastatals (TelOne and Net One)

  17. Summary of Programmes

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