Bridgetown, Barbados --- (METERING.COM) --- October 20, 2011 - The Caribbean Hotel Renewable Energy and Energy Efficiency Action – Advanced Program (CHENACT-AP) has been launched with a US$2 million grant from the Inter-American Development Bank (IDB).
The four-year program, which follows the earlier CHENACT program, is aimed to help hotels become more energy efficient through energy audits.
The participating countries are Barbados, Jamaica, the Bahamas, Suriname, Trinidad and Tobago, Belize, Haiti, Dominican Republic and Guyana.
According to IDB studies, many of these hotels have the potential to reduce water consumption by 50 percent and overall energy consumption by 30 percent to 50 percent, when implementing an integral set of efficiency measures and microgeneration with renewable energies.
The program will also finance an innovative scheme to enable individual hotels to generate revenue from the sale of carbon credits in the international carbon market. In order to overcome the transaction costs involved in selling carbon credits, which can make it prohibitive for an individual hotel or company to participate in the carbon markets, the IDB will work with the participating countries to bundle carbon emission reductions generated from energy efficiency or renewable energy application as a consequence of the CHENACT-AP, and will them help them to certify those emission using United Nations carbon finance instruments.
“In this way, multiple hotels will be able to access carbon markets at once, reducing the transaction costs of this process,” explained Christiaan Gischler, project team leader at the IDB. “This will make it easier for participating hotels to sell carbon credits to offset the costs of their efficiency investments, while promoting green tourism and helping to market the Caribbean as one of the main ‘low carbon tourism’ destinations.”
Finally the project will also help hotels access existing funds and identify opportunities for new financial schemes to strengthen local governments and promote energy efficiency on a regional level.
Counterpart funds being provided by the governments of Barbados, Jamaica and The Bahamas as well as a number of regional and international organizations will bring the project grant up to a total of US$5.145 billion.