A Discussion Through The Lens Of Sovereignty And Energy Justice

A Discussion Through The Lens Of Sovereignty And Energy Justice Presented by: Mrs. Calvert Date: 11 October 2022 Rules For Sharing - 50/50 basis - "right of purchase" + "compensation fee" - Key point of contention: prevailing interpretation, neither country can dispose of part or all of its share to sell to third parties - Needs and capabilities were/remain asymmetrical Setting the Stage - Paraguay has a large surplus of hp - Mainstream discussions framed around freedom to "sell to others" - However Paraguay lags behind in per capita use, Infrastructure deficit - Revision as a focusing event Discursive frames - "Hydroelectric sovereignty" - "Energy for development" Hydroelectric sovereignty - Sovereignty was lost when the treaty was signed - Sovereignty will be recovered once Paraguay has "free availability" of its share of energy to sell to others at market price Energy for development - Paraguay should strive to use all of its surplus within borders - In the long term, the best strategy is to absorb all surplus domestically - "Hydroelectric sovereignty": focuses on market opportunities beyond borders - "Energy for development": focuses on strategies for use within borders Energy benefits within borders - Paraguay has a large surplus of hp - However Paraguay lags behind in per capita use: Infrastructure deficit Reviewing THE LITERATURE: WHAT ABOUT TRANSBOUNDARY HYDROPOWER DAMS GLOBALLY? - 90 dams in 1,200 studies - Asymmetrical exchanges are commonplace - The size of a resource may be incongruent with existing capabilities. - Beyond sovereignty or co-ownership, attention to the distribution of ensuing benefits is key - Issues of security, capabilities, and justice become important shaping conditions alongside technology, infrastructure, and natural resources. Energy Justice - Useful conceptual framework - Global energy system that fairly disseminates both the benefits and costs of energy services, and one that contributes to more representative and impartial energy decisionmaking. - Distribution of benefits, or how access to modern energy systems and services is distributed throughout society. Applying E.J Based Framework To Transboundary Hydropower Dams In Three Countries - Even when capabilities may exist and transboundary hydropower potential is realized, low diversification is a risk (facilities, sources and export routes and destinations). - Integration opens doors for better economic deals. - Revenue management is key. - Security beyond secured capacity means engaging seriously with services and a wise strategy to reinvest in development. - Ambitious targets must be tempered by reality of the needs of the population. Implications For The Revision Of Annex C - In approaching the revision of Annex C, it is crucial to take stock of the performance of Paraguay in terms of security and capabilities, informed by the principles of availability, affordability, transparency and accountability - Not all problems can be solved by the Annex C revision per se. However, its importance as a focusing event in the region cannot be underscored. - Domestic benefits: Concentrating efforts in enabling increased use would maximize the position of the country as it would be the only way to take "sovereign control" over its share of hydropower. - Benefits beyond borders: integration is a powerful source of benefits which has not been harnessed. Comparative research indicates that this is the better way to go. Emerging questions - On the face of abundance, how justly are the benefits of such a huge endowment distributed? - Why are the citizens of Paraguay using so little? Yet, many of the needs are still fulfilled with less efficient energy sources: biomass. - Can a justice perspective aid in mapping out needed investments/steps toward a more complete enjoyment of benefits? - Moreover, does reframing the discussion in terms of justice help us focus on the beneficiaries and not the territory? - What are the implications for integration? - With the revision of Annex C approaching, which of the two prevailing positions is likely to derive in a more equitable outcome if adopted? - How do the two positions reconcile with principles of energy justice? - Has focusing on the outward dimensions of hydroelectric sovereignty precluded fundamental decisions on investment for critical infrastructure which might have enabled the creation of added value from the use of electricity? - How can the energy justice framework contribute to the domestic debate about the use of hydropower surplus in Paraguay? - Can a justice-based approach help reconcile the two positions to facilitate the construction of a common agenda? - What distributional risks exist within Paraguay?