How a “portfolio approach” sparked a blue and green shift in Mauritius

Investments build directly on one another to foster resilience and sustainability

August 20, 2024
Woman in hard hat works on solar panels

Mauritius plans to increase its renewable energy to 60 percent by 2030 and phase out coal-generated electricity at the same time.

UNDP Mauritius/Stephane Bellerose

What is a portfolio approach? 

Portfolio approaches tackle the nature and climate crisis, land degradation, ecosystem decline, water and ocean resource use, and pollution as interconnected issues. For nearly 20 years UNDP has been working with its partners in Mauritius on a “big picture” response that charts a more sustainable future. 

"By addressing nature and climate threats, as well as pollution in its many forms, within this integrated approach, we aim to consistently identify low carbon development opportunities for development that are holistic and build impact over time.”
Amanda Serumaga, UNDP Resident Representative, Mauritius and Seychelles

Why is this especially important in Small Island and Developing States? 

Small Island Developing States (SIDS) are pioneers in the shift towards a nature-positive, climate-resilient, and low carbon future. Island nations don’t have the luxury of tackling biodiversity loss, environmental degradation and energy efficiency separately. Their challenges are all related.

SIDS have just adopted the new SIDS4 Antigua and Barbuda Agenda for SIDS: Renewed Declaration for Resilient Prosperity in Antigua and Barbuda. They called for action to build a collective future, and demonstrated how island nations are leading the way. 

The issues demand ‘whole-of-society’ responses which require coordination across ministries and sectors, building on locally-owned and existing structures and initiatives, and seeking private sector engagement and community empowerment at every level. 

This year is an important year for progress, from the Kunming-Montreal Global Biodiversity Framework (The Biodiversity Plan), the Paris Agreement; the United Nations Convention to Combat Desertification Strategic Framework, and keeping the Sustainable Development Goals on track. 

UNDP Mauritius infographic
Infographic: UNDP Vertical Fund

What is UNDP’s role? 

UNDP’s unique strength has been to partner with governments to change policy, working with public and private financial partners and local communities.

Investments by the Global Environment Facility (GEF) and the Green Climate Fund (GCF) have paved the way to renewable energy, the bigger picture of natural resource protection, and human development. Investments build directly on one another to foster a nature-positive future. 

Men in hard hats and overalls stand next to solar panels

Decreasing dependency on fossil fuels and moving towards renewable energy is an important part of Mauritius's plan for a green and sustainable future.

Photo: UNDP Mauritius/Stephane Bellerose

What is an example of a portfolio approach in action? 

For decades, Mauritius relied on imported fossil fuels for electricity. More than 70 percent of its energy requirements are met by oil and gas, accounting for 62 percent of its greenhouse gas emissions.  

With the renewable energy mix at around 18 percent, plans are underway to ramp this up to 60 percent by 2030, with a goal to phase out coal in the generation of electricity at the same time. The country is on the way to a low-carbon economy, with job growth and reduced vulnerability to economic shocks. 

Aerial view, coastal islands

Restoring marine ecosystems is a vital part of the economic and climate future of Mauritius.

Photo: UNDP Mauritius/COM N BIZ

Building on progress year-by-year - 2007

 

A large volume of greenhouse gas emissions came from the buildings sector in Mauritius, responsible for some 78 percent of electricity consumption. With more demand for housing and air conditioning, a 60 percent increase in energy consumption was predicted. 

 

The Removal of Barriers to Energy Efficiency and Energy Conservation in Buildings project in Mauritius, funded by the GEF, tackled energy use in buildingsAn Energy Efficiency Management Office was established and a tariff to guarantee a high price for renewable energy helped cut the cost of installing solar panels. An Energy Efficiency Act and the Building Control Act were passed, to raise awareness of the benefits of energy conservation and remove technical barriers.

  

Building on progress 2007 - 2011 

  

Building on previous investments, a GEF-funded project to address Removal of Barriers to Solar PV Power Generation in Mauritius, Rodrigues and the Outer Islands aimed to capitalize on the potential of renewables. 

 

The market took off, aided by financial incentives such as VAT exemptions on solar systems, and public-private partnerships offering favourable interest rates on green loans. Investment in solar panels rose from negligible, to enough to power 600 households and plans are underway to add another 14,000 homes. This was made possible through partnerships with the government, private sector, and Agence Française de Développement, which included technical assistance and credit through two Mauritian banks. 

 

Under water picture diver holding coral

Mauritius is heavily dependent on income from tourism, and protecting the health of coral reefs is a vital concern.

UNDP Mauritius/Gérald Rambert

Building on progress 2011 - 2017 

A Green Climate Fund follow-up project to accelerate the transformational shift to a low-carbon economy is building on this work to take solar panels to the outer island of Agalega, while establishing the country’s first Mauritius Renewable Energy Agency. This includes supporting the Central Electricity Board to buy and install equipment to ensure that renewable energy can be connected to the grid without jeopardizing stability. 

The 18-megawatt battery energy storage system, coupled with other equipment, can generate renewable energy of up to 185 megawatts. This includes intermittent energy, such as solar and wind being integrated into the national grid. The work stabilizes the frequency and voltage of current supply to households, NGOs, and public buildings.

Building on progress 2020 – present day 

Sequential investments have strengthened government partner skills and the national grid, paving the way for greater absorption of renewable energy for low-carbon development in other sectors. Most recently this includes a government initiative supported by UNDP and the GEF, to tackle greenhouse emissions, air pollution and efficiency in public buses to spur on economic development and the energy transition.

How do nature and climate fit into the “portfolio approach”?  

There is no point in powering solar access if communities need to migrate due to extreme weather. Similarly, installing electric infrastructure is only useful if solutions also cover adapting to the impacts of sea level rise or coastal incursions from extreme storms. These efforts will only be sustainable if they also create tourism jobs or provide opportunities for community wellbeing. These things are inextricably connected and must be addressed together. 

The project to Mainstream Sustainable Land Management and Biodiversity Conservation in the Republic of Mauritius aims to slow deforestation and protect biodiversity, while working with farmers to manage fertilizer use and decrease pollution. 

And the GEF-funded project to Mainstream Invasive Alien Species tackles policy barriers to manage destructive non-native plants, animals, pathogens and organisms, while raising public awareness about protecting native species for the ecosystem and tourism. 

Efforts to protect coral reefs which underpin the economy in Mauritius, address coral bleaching and work with local businesses to transition away from degradation of vital natural assets.