Integration of Renewable energy across economic sectors and beyond

The success of the Mauritian economy historically relies on our ability to adapt to the dynamics of the global economic landscape and successfully addressing associated challenges. Resolving issues related to the drastic drop in global sugar prices of the late 60’s, the relocation of textile firms in the 90’s to the financial crisis of 2008 and more recently, the effects of COVID 19 and its aftermath, are clear testimony of the country’s resilience, adaptation and evolution capabilities.

The world currently stands at the face of one of the greatest conundrums faced by humanity, threatening the very basis of our socio-economic structure, climate change and its underlying adverse effects. Mauritius is among the most vulnerable countries exposed to climate change and, adaptation to these new realities necessitates a transition from the current economic model to an inclusive green economy (IGE).

An IGE is based on the principles of interconnected economic, social and environmental commitments reflecting the Sustainable Development Goals (SDGs) and the Paris Agreement on climate change. One of the fundamentals of an IGE is the shift towards renewable energy and decarbonisation of end user activities.

Mauritius’ strategy towards an RE based electricity sector encompasses national facility scale projects, which are commissioned following an RFP and, scheme-based projects which encourages different account holders of the CEB to generate their electricity from renewable energy sources. This not only contributes towards Government target of 60% of RE in the electricity mix by 2030 but also support decarbonisation of end user activities.

From 2010 to 2023, schemed based projects commissioned to service the small and medium customer category of the CEB totalled an aggregated installed capacity of 32 MW. The 2030 renewable energy roadmap for the electricity sector provides for an additional capacity of 220 MW from small and medium-sized users.

Consequently, the Carbon Neutral Industrial Scheme was introduced and is subscribed to its full allotted capacity of 200MW. Industrial users represent 1.3% of CEB account holders and have a consumption exceeding 25% of total electricity generation.

Today, 8 industrial entities are implementing solar projects for a total installed capacity of exceeding 70MW and representing investments of some MUR 3 billion. Materialisation of the committed 200 MW of projects under the CNIS will result in operators in the manufacturing sector generating over 50% of the annual sectoral requirements from RE sources. Moreover, this will increase the readiness of Mauritius to adhere to upcoming green taxation scheme being implemented in our major markets such as the EU green deal.

Currently, the CEB has five schemes opened for its customers in the domestic category extending from free kits for eligible households, religious bodies and charitable institution to schemes servicing households on a gross metering as well as those having electric vehicles.

On the commercial front, seven schemes are opened for applications catering specifically for the needs of educational institutions, public bodies willing to engage in large RE projects, corporates with electric vehicle fleet, corporates envisaging to deploy electric vehicle charging stations, smart cities and other commercial users.

The EDB has registered an increased appetite for deployment of RE facilities from operators engaged in hospitality, smart city and commercial centre activities. Moreover, traditional players of the fossil fuel industry are also being involved in RE project such as Vivo and Total Energies, both providing for onsite and offsite electric vehicle charging facilities. This trend follows new market exigencies focussed on sustainable development and environmentally responsible practices.

The transition to RE and cleaner sources of fuel is also triggering substantial interest in research and emerging technologies. A first pilot agri-voltaic farm was incepted last year and is currently under expansion. The latest call for proposal from MARENA’s National Scheme for Emerging Project Concepts Based on Renewable Energy Technologies reap interest in waste to energy, hydrogen and ocean thermal energy conversion (OTEC). Moreover, private sector players are also engaged in innovative projects such as Energie Des Mascareignes, a JV between IBL and Green Create, engaged in valorisation of waste from the tuna industry to generate energy and fertilizers.

The spill overs of a transition towards IGE are broad and far reaching, with the possibility to extend our reach to the industry of environmentally sound technologies (ESTs) which includes re technologies, battery, EVs and EV components among others.

Access to the African continent’s critical minerals like copper, graphite and lithium under our umbrella pf bilateral and multi-lateral agreements, together with a regional industrial integration strategy can position Mauritius in the USD 1,2 trillion worth environmentally sound technologies (ESTs) industry, opening a new chapter in our economic evolution