Grenada: A small island state with big climate goals

Group of children standing at a solar panel

Grenada: children in front of a photovoltaic system; picture: GIZ-CREDP

The island state of Grenada has an ambitious climate policy goal: generating 20% of its electricity using renewable energy by 2020. However, up to now this eastern Caribbean country has relied on fossil fuels to generate 99% of its electricity.

The island state must restructure its energy sector in order to reach this ambitious climate goal. The International Climate Initiative (IKI) of the BMUB has been providing support since February 2015 with a new project.

The responsible German embassy has underlined the importance of the project for other small island states: 'Grenada can serve as a model by showing how changing institutional structures in the energy sector can instigate the process of establishing a sustainable society.' Grenada's experiences are pertinent to other island states in the region, as they face similar challenges such as monopolistic structures and high electricity costs. In addition, the conditions for utilising renewable energies in the region are excellent.

The Federal Ministry for the Environment is supporting the IKI project 'Reform of the Electricity Sector to Support Climate Policy in Grenada' (G-RESCP) with around EUR 1.4 million. The project aims to open up the electricity market to competition, thereby fostering the use of renewable energies and energy efficiency.

The measures include providing support to the Grenada Government to build a national platform for exchanging information and knowledge, and assistance in revising the electricity supply law. The project will also support a dialogue process between the Grenada Government and Grenada Electricity Services Ltd. (GRENLEC), the corporation that currently holds a monopoly over electricity supply.