Expert workshop "Benefits of regional cooperation on the energy-water-land nexu transformation in Central Asia"

1. EXPERT WORKSHOP ON THE
BENEFITS OF REGIONAL
COOPERATION ON THE
ENERGY-WATER-LAND
NEXUS TRANSFORMATION
IN CENTRAL ASIA
Overview
Matthew Griffiths
8 June 2021

2. • A lack of cooperation in the field of energy, water and food security
leads to missed opportunities and inefficiencies
• Economic and financial data and mechanisms to support
cooperation are lacking
• The “business case” for cross-sectoral planning must be compelling
• Dynamic situation
• Discussion paper
– Challenges and opportunities
• High-level policy dialogue
– To be organised from September
Challenges

3. • OECD has worked on environmental policy reform in Central
Asia for over 20 years
• National Policy Dialogues on water in partnership with
UNECE
• The case of Shardara MPWI in Kazakhstan
• Asset use evolves over time
• Compromised design and operational philosophies
• Missed economic opportunities
• Value of hydro-economic modelling and decision support
tools
“Single sector” projects can be relatively simple………..

4. OECD publications

5. • Within a sector ……..(fragmentation)
• Between sectors……..(conflicting frameworks)
• Within a region………(diverging priorities)
• A call to “operationalise the nexus”
• Generate the evidence base to incentivise action
• Economic and financial data and support tools
• Create the “business case for cooperation”…….. and break
down silos
Cooperation is difficult……

6. • Support coherence between policy frameworks
• Improve long-term strategic planning
• Plan at the correct scale e.g basin-level, national level,
regional
• Trigger synergetic effect of cross-sectoral work
– Economic benefits
– Improve environmental performance
– Improve well-being of citizens
Improved decision making around energy, water and
food security

7. • Improved resource security requires coherent and robust policy making. Strategic planning and effective
implementation mechanisms are essential
• Planning at the right scale is crucial
– Significant Soviet legacy at regional scale with centralised decision making and providing many good features
and lessons
– The context today is different with different challenges and available finance
– National and regional planning requires strengthening, including consideration of cooperation scenarios
– An emerging role for decentralised planning eg river basin planning and opportunities for renewables
– The balance is key: efficient allocation and greater security of resources implies planning at different scale,
otherwise it triggers inefficiency and insecurity
– Decentralised decision making must be supported by capacity development for local actors
• Planning (frameworks) must be flexible and adaptive to respond to the pressures the region is facing
– Climate change, population growth, economic diversification, water demands from outside the region all
mean that the pressures on resources are dynamic
– Role of scenario analysis and economic modelling. Data is an issue.
Key challenges with enhancement of energy/water/food
security - towards regional cooperation (1 of 2)

8. • A strong enabling environment is needed to support policy implementation
– Legal, regulatory and financial incentives must be in place to promote better water/food/energy
security
– Strong political support is required as well as a robust evidence base, including economic and
financial analysis to aid decision making
– The incentives need to recognise “winners and losers” and be supported by appropriate
compensation mechanisms
• Cooperation can drive cost effective solutions getting “more for less”
– Coherent cross-sectoral planning can drive synergetic projects. Get away from silo approach.
– Cooperation facilitates access to finance…..but…..
– Projects need to be supported by appropriate tariff frameworks and charges
• Sound cross-sectoral planning at the national and regional level facilitates cooperation and
sustainable development towards resource security for the benefit of the citizens of Central Asia
Key challenges with enhancement of energy/water/food
security - towards regional cooperation (2 of 2)

9. • What is your perspective of the current practice with combined water,
energy and food planning at a national and regional level? What lessons
have been learned (good or bad)?
• What suggestions do you have for strengthening the current legal,
regulatory, technical or institutional frameworks to support cooperation at
the regional level?
• What were the challenges in development and fulfilment of previous inter-
state agreements? (e.g. 1998 Syr Darya Agreement ) What lessons have been
learned to inform development and application of future agreements?
• What economic and financial mechanisms need to be in place to promote
cooperation?
• What are key areas that require capacity development in the region to
support progress? E.g. Data, modelling in the context of climate change
• What practices do you consider essential to promote joint management of
water and energy?
Questions from the discussion paper for consideration

10. • Что вы думаете по поводу практики скоординированного планирования в сфере
использования водных ресурсов, энергетических ресурсов и продовольствия на
национальном и региональном уровне? Какие уроки (положительные или
отрицательные) извлечены?
• Какие у вас есть предложения по укреплению действующей правовой,
нормативной, технической или институциональной основы для содействия
сотрудничеству на региональном уровне?
• Какие проблемы возникали при разработке и выполнении предыдущих
межгосударственных соглашений? (например, соглашения по реке Сырдарья
1998 года) Какие уроки извлечены, с тем чтобы они были учтены при разработке
и применении будущих соглашений?
• Какие экономические и финансовые механизмы должны существовать для
содействия сотрудничеству?
• Каковы основные сферы, в которых требуется развивать потенциал в регионе для
содействия прогрессу? Например, базы данных, моделирование в условиях
изменения климата и т.д.
• Какие вы видите пути для внедрения совместного управления водными и
энергетическими ресурсами?
Вопросы для рассмотрения из документа
для обсуждения

11. • Please use the chat function to raise questions
• Please feel free to raise hands and intervene
• We have prepared “zoom polls” to collect views
• We will follow up with questions to participants
afterwards to collect views if participants wish to share
after the event
Today’s meeting

12. THANK YOU