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Renewable  Energy  on  Bonaire  

An  interdisciplinary  analysis  of  the  renewable  energy  transition  on  Bonaire    

 

ABSTRACT   -­‐   In   this   research   the   transition   to   renewable   energy   sources   (RES)   on   Bonaire   is   analysed  to  identify  the  difficulties  and  advantages  faced  by  a  small  isolated  community  during   such  a  transition.  Bonaire  shares  many  characteristics  with  other  islands  that  make  it  suitable   for   the   implementation   of   RES.   To   identify   the   problems   and   deal   with   the   complex   nature   of   transitions   in   general,   the   interdisciplinary   approach   of   transition   management   is   used.   Transitions  can  only  be  steered  and  analysed  by  considering  all  levels  of  decision-­‐making.  From   studies  on  transition  management,  several  domains  were  identified  where  problems  frequently   arise   during   a   transition.   The   main   obstructions   faced   by   Bonaire   are   conflict   with   external   parties,  uneven  distribution  of  costs  and  benefits  and  difficulties  related  to  realizing  long-­‐term   goals.   These   obstructions   are   linked   to   lack   of   available   human   capital,   poverty   and   economic   inequality   and   political   myopia   respectively.   On   the   other   hand,   the   fire   in   2004   releasing   Bonaire   from   its   fossil-­‐fuel   lock-­‐in   and   the   overarching   long-­‐term   influence   from   the   Dutch   government  are  island-­‐specific  factors  that  have  a  positive  influence  on  the  transition  to  RES.  It   is   concluded   that   difficulties   and   advantages   arise   from   factors   present   in   most   communities.   Future  research  can  aim  to  extrapolate  the  findings  from  this  research  to  similar  islands.  

                   

Course:  Interdisciplinary  Project  

Students:  Bart  Sweerts,  Niels  Heining  and  Jasper  Steenvoorden   Tutor:  Jaap  Rothuizen    

Expert  supervisor:  Alison  Gilbert   Date:  22-­‐05-­‐2016  

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Table  of  contents  

1.  Introduction  ...  3  

2.  Transition  management  and  RES  strategies  ...  4  

2.1  Transition  management  ...  4  

2.2  RES  strategies  based  on  EnergyPLAN  ...  6  

3.  Methods  and  interdisciplinarity  of  energy  transitions  ...  6  

4.  The  move  to  a  sustainable  energy  future  ...  7  

4.1  Renewable  Energy  Sources  (RES)  implementation  ...  8  

4.2  Energy  Efficiency  ...  9  

4.3  Energy  Savings  ...  9  

5.    Important  decisions  for  a  self  sufficient  renewable  energy  system  ...  10  

5.1  Strategic  level  ...  10  

5.2  Tactical  level  ...  10  

5.3  Operational  level  ...  11  

6.  Problems  during  the  management  of  societal  change  ...  12  

6.1  Financial  conflict  with  the  energy  producer  ...  12  

6.2  Controversy  about  the  price  of  energy  ...  13  

6.3  The  role  of  the  Dutch  government  in  stimulating  short-­‐term  steps  ...  14  

6.4  The  release  from  -­‐and  avoidance  of  a  lock-­‐in  situation  ...  15  

6.5  The  risk  of  a  small  political  body  ...  15  

7.  Conclusion  ...  16  

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1.  Introduction  

Bonaire  is  one  of  five  islands  that  form  the  Netherlands  Antilles,  located  in  the  Caribbean  Sea.   With  a  population  of  only  18,500  and  an  area  of  294  square  kilometres  (Centraal  Bureau  voor  de   Statistiek  [CBS],  2016),  it  is  the  least  densely  populated  island  in  the  Netherlands  Antilles.  As  a   special   municipality   of   the   Netherlands,   Bonaire’s   governing   institutions   are   largely   organized   by   the   Netherlands.   Furthermore,   Bonaire   is   part   of   a   group   of   islands   named   Small   Island   Developing   States   (SIDS).   These   islands   are   low-­‐lying   nations   that   face   similar   problems   regarding   their   isolated   location,   limited   natural   and   human   resources   and   ecological   vulnerability  (Wong,  2011).  

One   of   the   major   challenges   that   many   of   these   SIDS   face   is   their   precarious   energy   management  strategy.  Weisser  (2004)  states  that  they  often  rely  heavily  on  imported  fossil  fuel   for   their   energy   production,   their   remote   location   and   small-­‐scale   consumption   making   this   a   costly  way  of  producing  energy.  This,  in  combination  with  oil  price  fluctuations,  causes  a  large   and  volatile  financial  drain.  

Bonaire   seeks   a   solution   to   this   problem   by   the   implementation   of   renewable   energy   sources  (RES).  This  form  of  domestic  energy  production  will  limit  the  dependency  on  the  costly   and   fluctuating   fossils   fuels,   enhancing   Bonaire’s   independence   and   options   for   development.   Furthermore,  it  lowers  emissions  and  puts  a  lower  stress  on  natural  ecosystems,  which  play  a   major  role  in  attracting  tourists.  Additionally,  several  studies  show  natural  conditions  on  small   islands   are   often   suitable   for   renewable   energy   production,   especially   in   the   form   of   wind   or   solar  farms  (Kaldellis  et  al.,  2001;  Monteira  Alves  et  al.,  2000).  

Bonaire  is  currently  a  leader  in  the  Caribbean  in  the  use  of  RES,  especially  wind  energy   (National   Renewable   Energy   Laboratory   [NREL],   2015).   However,   a   large-­‐scale   transition   to   a   different   energy   source   inevitably   comes   with   complications   and   resistance,   illustrated   by   the   lack  of  RES  on  most  similar  islands.  For  this  reason,  Bonaire  provides  an  interesting  case  study   regarding  the  possible  transition  to  RES  on  SIDS  or  other  remote  and  vulnerable  communities.   Examining  the  situation  on  Bonaire  may  help  to  identify  the  difficulties  faced  during  a  transition   to  RES.  From  this,  the  main  research  question  follows:  

 

“How   has   Bonaire   managed   its   transition   to   renewable   energy   sources   and   what   are   the   difficulties  and  opportunities  faced  by  the  island  during  this  transition?”  

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2.  Transition  management  and  RES  strategies   2.1  Transition  management  

Before   the   study   of   transition   management   can   be   used   in   this   research,   understanding   its   conceptual   model   and   the   meaning   of   transitions   in   general   are   of   utmost   importance.   In   the   case  of  this  chapter,  transition  management  will  be  treated  from  a  RES  transition  perspective.    

According  to  the  Nationaal  Milieubeleidsplan  4  (2008),  a  transition  is  a  gradual  process   of   societal   change   in   which   a   society   or   an   important   subsystem   of   a   society   undergoes   significant   structural   changes.   These   societal   changes   are   a   result   of   interactions   between   developments  such  as  changes  in  energy  prices  and  policy  acts  that  may  sustain  and  reinforce   each  other.  However,  transitions  cannot  be  caused  by  a  single  variable  such  as  a  price  change.   Rather,   they   are   the   result   of   continuous   developments   in   various   domains:   economy,   technology,  ecology,  institutions,  culture  and  paradigms  (Kemp  &  Loorbach,  2003).    

  Consequently,   transition   management   is   the   way   in   which   transitions   are   steered   towards  a  desired  outcome.  In  order  for  this  to  happen,  Loorbach  (2004)  proposes  a  multi-­‐level   governance  that  works  through  the  interactions  of  what  he  calls  the  strategic  level,  tactical  level   and  operational  level.  Firstly,  at  the  strategic  level  of  transition  management,  processes  of  vision   development,   strategic   discussions   and   long-­‐term   goal   formulation   are   important.   It   is   in   this   phase  of  transition  management  that  changes  in  thinking  about  the  current  situation  are  set  in   motion,   with   the   vision   of   a   desired   outcome   as   a   result.    Regarding   RES   transitions,   an   aspiration   to   achieve   100%   RES   in   50   years   from   now   may   be   an   example   of   a   strategic   level   process.  

Secondly,  on  a  tactical  level,  activities  of  negotiating,  networking,  coalition  building  and   agenda   building   are   priority.   Here,   it   is   discussed   how   and   what   is   needed   in   order   for   a   RES   transition  to  occur.  Changes  in  market  structure,  creation  of  coordinating  bodies  and  changing   policies  are  but  a  few  examples  of  activities  occurring  on  a  tactical  level.    

Lastly,   on   an   operational   level,   processes   of   experimenting,   project   building   and   implementation   are   main   activities.   In   this   phase,   all   things   that   have   been   proposed   in   the   strategic  and  tactical  level  will  be  applied  (Kemp  et  al.,  2007).  In  the  case  of  a  RES  transition,  this   may   imply   substitution   of   fossil   fuel   based   energy   sources   for   RES,   analysing   the   potential   of   certain   forms   of   RES   and   increasing   society’s   knowledge   on   RES,   energy   efficiency   and   sustainability  through  seminars  or  publicity  campaigns.    

Within  the  multi-­‐level  governance  as  proposed  by  Loorbach  (2004),  these  processes  are   aligned  by  a  combination  of  governance,  self-­‐organization  and  process  management.  As  a  result,  

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at   each   level,   multiple   types   of   actors,   such   as   the   inhabitants   themselves   are   needed,   as   transitions  result  from  the  interaction  between  actors  on  multiple  levels  (Loorbach,  2004).    

However,  Kemp  et  al.  (2007)  state  a  number  of  problems  related  to  the  variety  of  actors   involved   in   a   transition   and   are   often   faced   when   managing   processes   of   societal   change:   dissent,   distributed   control,   determination   of   short-­‐term   steps,   danger   of   lock-­‐in   and   political   myopia.  Although  these  are  common  problems  in  any  type  of  steering,  Kemp  et  al.  (2007)  state   that   the   unconventionality   of   transition   management   is   that   it   tries   to   deal   with   them   in   an   integrated  way.    

Dissent   is   often   present   in   dealing   with   complex   societal   problems   such   as   RES   transitions,  as  different  people  have  different  perspectives  on  the  situation  and/or  problems  and   how  to  deal  with  them.  However,  there  may  still  be  possibilities  to  reach  common  ground  on  the   future   of   a   RES   system.   For   example,   even   though   there   are   mixed   opinions   on   the   eventual   impact  of  a  RES  transition  in  a  specific  society,  it  is  generally  still  accepted  that  RES  are  reliable,   affordable  and  produce  low  amounts  of  CO2  (Kemp  et  al.,  2007).  Dissent  often  results  from  the   second  mentioned  problem  of  distributed  control.  In  multifaceted  societies,  control  can  mostly   not   be   exercised   from   the   top   alone.   Instead,   it   is   distributed   over   a   variety   of   actors   with   different  beliefs,  interests  and  resources  (Kemp  et  al.,  2007).    

Thirdly,   there   is   often   ambiguity   about   how   short-­‐term   steps   will   achieve   a   long-­‐term   goal.  As  a  result,  this  often  results  in  problems  for  policy-­‐makers,  as  there  is  little  theory  on  this   (Kemp  et  al.,  2007).  Kemp  et  al.  (2007)  therefore  propose  a  strategy  that  involves  forward  and   backwards  reasoning.  Consequently,  this  results  in  activities  of  trend  analysis  and  forecasting  in   forwards   reasoning,   while   backwards   reasoning   may   help   in   identifying   strategic   experiments   that  may  help  set  goals  for  new  socio-­‐technical  systems.    

Furthermore,  there  is  a  problem  that  is  defined  as  danger  of  lock-­‐in.  According  to  Kemp   et  al.  (2007),  this  problem  means  that  there  is  always  a  danger  that  a  society  gets  locked  into  a   suboptimal   situation   due   to   the   fact   that   better   solutions   were   not   present   at   the   start   of   the   transition.  An  example  of  this  is  the  fossil-­‐fuel  based  energy  system.  Even  though  fossil-­‐fuels  are   not  an  optimal  long-­‐term  solution,  RES  transitions  are  now  hard  to  realise  in  many  societies  as   infrastructure,   regulation   and   institutions   have   long   been   optimized   for   the   use   of   fossil-­‐fuels   instead  of  RES  (Kemp  et  al.,  2007).    

Lastly,  there  is  a  problem  of  political  myopia  or  near-­‐sightedness.  Geels  (2005)  finds  that   transitions   in   societies   take   more   than   one   generation   and   consequently   stretch   over   various   political  cycles.  Transition  management  has  to  be  able  to  deal  with  these  short-­‐term  changes  in   political  systems.  As  a  result,  the  long-­‐term  results  of  a  transition  to  RES  have  to  be  made  clear   so  that  policy-­‐makers  and  politicians  are  convinced  that  a  transition  like  this  needs  fundamental   change  and  time  (Kemp  et  al.,  2007).    

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2.2  RES  strategies  based  on  EnergyPLAN    

The   EnergyPLAN   energy   system   analysis   is   in   its   core   a   computer   model   that   simulates   the   operation   of   national   energy   systems   on   an   hourly   basis   and   includes   a   variety   of   parameters   such  as  electricity,  heating,  cooling,  industry  and  transport  sectors  (Department  of  Development   and   Planning   Aalborg   University,   2016).   However,   according   to   Lund   &   Münster   (2003),   the   main  purpose  of  the  EnergyPLAN  model  is  to  design  suitable  national  energy  planning  strategies   by  analysing  the  consequences  of  different  national  energy  investments.  As  a  result,  Lund  (2007)   discusses  the  perspective  of  RES  in  the  making  of  strategies  for  sustainable  development.  It  was   found  out  that  such  strategies  typically  involve  major  technological  changes  in  three  domains:   RES  implementation,  energy  efficiency  and  energy  savings.  In  the  case  of  RES  implementation,  it   is   here   that   fossil-­‐fuel   based   energy   production   has   to   be   replaced   by   various   RES.   Energy   efficiency   involves   both   improvements   in   the   producing   and   consuming   sector,   while   energy   savings  are  required  only  from  the  demanding  side  (Lund,  2007).    

3.  Methods  and  interdisciplinarity  of  energy  transitions  

The  concept  of  interdisciplinarity  is,  despite  its  universality  and  complexity,  a  term  that  turned   many  educators,  practitioners  and  researchers  towards  work  in  order  to  accomplish  objectives   of  answering  complex  questions,  addressing  broad  issues  and  solving  problems  that  are  beyond   the  scope  of  one  discipline  (Klein,  1990).  

According  to  Palm  and  Thollander  (2010),  energy  and  energy  transitions  are  especially   interdisciplinary.   It   involves   many   stakeholders,   actors,   producers   and   users   and   thus   disciplines   to   be   able   to   determine   a   society’s   ability   to   create   long-­‐term   sustainable   energy   systems.   On   the   one   hand,   energy   production,   use   and   efficiency   have   to   be   increased   on   the   producing  side.  On  the  other  hand,  shifting  energy  systems  towards  greater  sustainability  also   requires   a   ‘transformation’   in   the   behaviour,   values   and   routines   of   users   to   conserve   energy.   Therefore,   the   World   Commission   on   Environment   and   Development   (1987)   states   that   it   is   a   never-­‐ending   process   of   social   change,   involving   multiple   transitions   made   up   of   processes   of   coevolution  involving  changes  in  needs,  wants,  institutions,  culture  and  practices.  

Subsequently,  a  transformation  like  this  can  be  facilitated  by  a  variety  of  activities,  such   as   through   policy   means   and   government   initiatives   in   the   form   of   taxation,   subsidies,   information   campaigns   and   energy   guidance,   but   also   through   studies   on   the   technological   innovations  required  to  efficiently  develop  the  energy  sector  and  reduce  ecological  stress  (Palm   &   Thollander,   2010).    As   a   result,   energy   transitions   include   the   cooperation   of   a   variety   of  

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disciplines   such   as   politics,   economy,   ecology   and   technology   to   be   able   to   reach   a   desired   sustainable  outcome.    

Kemp   et   al.   (2007,   2010)   find   that   an   important   factor   in   the   success   of   an   energy   transition   is   the   suitability   of   the   energy   system   for   the   implementation   of   RES.   Furthermore,   site-­‐specific   benefits   and   problems   concerning   the   projected   change   play   a   vital   role   in   the   eventual  success  of  the  transition.  It  is  therefore  key  to  get  a  clear  image  of  the  current  energy   production   system   and   to   understand   sufficiently   how   and   through   the   interactions   of   which   actors  and  stakeholders  the  energy  system  on  Bonaire  works.  

Lund   (2007)   uses   a   structured   analysis   of   the   energy   production   of   a   community   to   identify  its  suitability  for  a  transition  to  RES.  This  analysis  discusses  current  implementation  of   RES,   energy-­‐use   efficiency,   possible   energy   savings   and   the   presence   of   integrated   energy   systems.  Furthermore,  from  a  social  and  political  point  of  view,  Kemp  (2007),  Loorbach  (2004)   and  Rotmans  (2001)  have  done  extensive  research  on  transition  management.  Loorbach  (2004)   proposes   a   multi-­‐level   approach,   identifying   a   number   of   political,   technical   and   economic   problems  that  may  arise  during  a  transition.  Combining  the  analysis  of  the  current  situation  with   the   multi-­‐level   transition   approach   results   in   an   interdisciplinary   research   identifying   the   factors   that   play   a   role   in   the   success   of   the   energy   transition   on   Bonaire.   This   fits   in   a   larger   discussion   on   how   small   communities   like   SIDS   can   be   aided   in   their   transition   to   a   more   renewable  energy  production.  

 This   research   starts   by   assessing   the   three   technological   changes   proposed   by   Lund   (2007)   in   the   case   of   Bonaire.   It   goes   on   to   discuss   the   different   levels   of   decision-­‐making   identified   by   Loorbach   (2004)   that   are   necessary   to   manage   a   transition.   Finally,   the   problem   domains  found  by  Kemp  (2007)  are  applied  to  Bonaire  to  identify  difficulties  faced  during  the   transition  and  find  their  underlying  cause.    

A  major  limitation  of  the  research  is  lack  of  local  data,  since  visiting  the  island  is  not  an   option.   For   this   reason,   most   information   is   derived   from   literary   sources   from   scientific   and   governmental  sources.  Secondly,  an  interview  conducted  with  Roy  Silberie,  an  employee  at  the   Water  en  EnergieBedrijf  (WEB),  provides  additional  but  possibly  subjective  information.  

4.  The  move  to  a  sustainable  energy  future  

In  this  chapter,  the  current  RES  situation  of  Bonaire  will  be  described  by  using  the  three  major   technological   changes   for   sustainable   development   of   RES   implementation,   energy   efficiency   and  energy  savings  as  suggested  by  Lund  (2007).  By  doing  this,  it  endeavours  to  provide  a  clear   overview   of   what   is   different   on   Bonaire   as   compared   to   other   islands   in   the   case   of   its   RES   situation  and  how  this  is  realised.    

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4.1  Renewable  Energy  Sources  (RES)  implementation  

Bonaire  is  currently  a  leader  in  wind-­‐power  use  in  the  Caribbean,  with  approximately  33%  of   their  energy  consumption  coming  from  self-­‐produced  wind  energy  (NREL,  2015).  Furthermore,   according  to  Roy  Silberie,  Bonaire  even  reached  an  average  of  42%  RES  in  their  yearly  energy   production  of  2015  with  peaks  of  70%  at  times  of  high  wind  speed.    

According   to   Renewable   Energy   Caribbean   (2015),   the   2004   fire   that   destroyed   the   central  diesel  generator  that  produced  70%  of  the  energy  on  the  island  was  the  major  event  that   provided  the  opportunity  for  Bonaire  to  develop  a  renewable  electricity  system.  As  according  to   Roy   Silberie,   drinking   water   is   also   produced   with   the   energy   and   heat   provided   by   the   destroyed  diesel  generators,  he  stated  it  was  of  utmost  importance  for  the  inhabitants  that  this   loss  of  production  capacity  was  solved  as  quickly  and  efficiently  as  possible.  Consequently,  due   to   cooperation   between   electricity   distributor   WEB,   electricity   producer   ContourGlobal,   the   Dutch  government  and  the  local  community,  the  water  and  electricity  problem  was  solved  and   the  switch  to  a  RES  system  was  made  possible  (Renewable  Energy  Caribbean  [REC],  2015).    

In  addition  to  that,  Schep  et  al.  (2012)  conclude  that  Bonaire’s  ecosystems  are  by  far  the   most   important   economic   value   to   the   island,   and   as   a   result,   WEB   in   cooperation   with   ContourGlobal   have   piloted   a   solar   energy   project   on   the   island   to   promote   the   ecologically   responsible  RES  and  thus  ecotourism  even  more  (Curacao  Chronicle,  2014).  Furthermore,  Roy   Silberie   mentioned   that   this   community   solar-­‐garden   project   is   mainly   directed   at   reducing   economic  inequality.  This  will  be  achieved  by  WEB  by  bearing  the  operational  costs  of  the  solar   garden,   allowing   underprivileged   local   inhabitants   to   participate   in   the   production   and   acquisition  of  renewable  energy  due  to  the  fact  that  they  are  alleviated  from  the  financial  burden   of  maintenance  costs  and  distribution  losses.  However,  it  was  concluded  that  the  2014  launched   solar-­‐powered   pilot   plant   that,   as   stated   by   InfoBonaire   (2015),   facilitates   electricity   for   70   households  on  Bonaire  with  792  solar  panels,  is  currently  not  as  efficient  as  wind  and  fossil-­‐fuel   based  energy.  On  the  other  hand,  WEB  did  state  that  this  project  was  a  good  opportunity  to  gain   experience   with   solar   energy   and   to   identify   the   constraints   and   possibilities   of   this   source   of   renewable  energy  on  Bonaire  for  future  use  (interview  Roy  Silberie,  WEB).    

  Moreover,   in   the   case   of   Bonaire,   algae-­‐produced   biofuels   may   prove   as   an   interesting   option  to  increase  the  overall  percentage  of  RES  on  the  island  as  the  climatic  conditions  for  algae   growth  seem  ideal  due  to  the  high  temperatures  and  sun  hours  throughout  the  year.  WEB  seeks   to   implement   this   technology   to   completely   fuel   its   electricity   generators,   and   as   a   result,   provide   55-­‐60%   of   the   island’s   energy   requirements   through   this   technology   in   an   optimal   situation   (NREL,   2015).   In   order   to   achieve   this,   the   seaside   ponds   on   the   islands   that   were   formerly   used   for   salt   production   would   be   adapted   to   algae   production.   However,   the   NREL   (2015)  states  that  large-­‐scale  production  of  biofuels  on  the  island  is  expected  to  take  significant  

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time  and  effort.  A  further  literature  research,  as  well  as  exploring  currently  active  commercial   algae   farms,   can   assist   Bonaire   in   implementation   of   algae   as   biofuel   producers.   Recently,   a   research  team  from  the  University  of  Wageningen  has  renewed  their  interest  in  studying  how   algae  biofuel  production  on  Bonaire  can  be  implemented.  

 

4.2  Energy  Efficiency  

One  of  the  main  discussion  points  in  renewable  energy  is  the  requirement  for  back-­‐up  systems.   Due   to   the   variable   nature   of   most   RES   (especially   wind   and   solar   energy),   power   sources   capable   of   adjusting   directly   to   the   energy   need   have   to   be   present.   However,   this   inevitably   causes   redundancy   in   capacity   and   increased   overall   cost   of   production.   Therefore,   it   is   important   to   calculate   optimal   ratios   between   variable   renewable   energy   sources   and   quickly   responding  and  dependable  generators  (Deshmukh  &  Deshmukh,  2008;  Packey  et  al,  1995).    

In  the  case  of  Bonaire,  this  has  resulted  in  an  energy  production  capacity  consisting  of   33%   wind   energy   and   67%   heavy-­‐fuel   generators   (NREL,   2015).   Future   plans   aim   to   cut   the   fuel-­‐generator   part   to   55-­‐60%   and   produce   the   remainder   with   a   mixture   of   wind   and   solar   power.  Coupled  with  the  fact  that  wind  energy  can  currently  provide  up  to  70%  of  the  energy   requirements,  it  can  be  concluded  that  Bonaire  has  a  significant  energy  production  overcapacity.   Nevertheless,  plans  have  been  proposed  to  deal  with  this  issue.  Hall  &  Bain  (2008)  state  that  a   major  strategy  to  deal  with  variable  RES  production  is  to  develop  ways  to  store  the  energy.  One   proposed   way   to   achieve   this   is   to   pump   water   into   basins   located   in   the   mountainous   north-­‐ western  part  of  Bonaire  using  excess  wind  energy  production.  When  the  energy  is  needed,  it  can   be  harvested  by  the  use  of  hydropower  generators  (interview  Roy  Silberie,  WEB).  This  strategy   is  already  implemented  on  the  Canary  island  El  Hierro,  and  as  a  result,  this  provides  an  excellent   case  study  of  this  technique  for  Bonaire  (Godina  et  al.,  2015).    

Furthermore,   Bonaire   faces   another   significant   challenge   with   respect   to   energy   efficiency.  Where  other  communities  or  countries  can  easily  exchange  energy  to  cover  some  of   the   production   variability,   Bonaire's   remote   location   makes   this   impossible.   In   the   case   of   Bonaire,   this   has   resulted   in   the   N-­‐2   strategy.   This   strategy   demands   that   energy   production   must  still  be  sufficient  when  the  two  largest  energy-­‐producing  units  are  out  of  order  (interview   Roy  Silberie,  WEB).    

 

4.3  Energy  Savings  

Energy   savings   policies   on   Bonaire   have   not   yet   been   implemented   directly   in   a   national   framework.  However,  this  is  where  the  concept  of  energy  literacy  proves  to  be  interesting.  The  

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U.S  Department  of  Energy  (2011)  state  that  schooling  inhabitants  is  important,  as  understanding   present  renewable  energy  and  sustainability  concepts  is  key  for  individuals  and  communities  to   make   more   informed   energy   decisions   in   the   future,   such   as   making   more   conscious   use   of   energy.   As   a   result   of   its   potential   positive   influence,   energy   literacy   will   be   assessed   in   more   detail  in  the  tactical  level  paragraph  in  the  next  chapter.    

5.    Important  decisions  for  a  self-­‐sufficient  renewable  energy  system    

Loorbach  (2004)  proposed  a  multi-­‐level  governance  that  works  through  the  interaction  of  the   strategic   level,   tactical   level   and   operational   level.   In   the   theory   chapter   it   is   explained   what   these  different  levels  imply.  In  this  chapter,  several  different  processes  that  are  currently  active   on  these  levels  will  be  explained  in  more  detail  for  the  case  of  RES  implementation  on  Bonaire.   5.1  Strategic  level  

RES  have  been  implemented  on  Bonaire  for  roughly  two  decades  and  many  of  the  strategic  level   processes  originate  from  when  RES  was  first  to  be  implemented  on  a  large  scale  after  the  2004   fire.   In   the   case   of   Bonaire,   these   processes   were   straightforward,   as   the   island's   government   wanted  not  only  to  restore  the  capacity  to  normal,  but  also  to  produce  100%  renewable  energy   (Bunker,   2015).   Furthermore,   according   to   Roy   Silberie,   as   all   costs   of   the   2004   fire   were   insured,  the  island  could  work  with  the  so  called  “Greenfield  Method”,  which  implies  that  there   is  no  need  to  work  within  the  constraints  of  existing  energy  infrastructure.  With  this  in  mind,  the   island   started   developing   policies   and   reaching   agreements   to   be   able   to   achieve   their   aspirations  for  a  100%  renewable  Bonaire.    

 

5.2  Tactical  level  

Bonaire  is  one  of  three  islands  that  are  a  special  municipality  of  the  Kingdom  of  the  Netherlands   since   2010,   and   thus   its   governing   authorities   are   largely   organized   by   the   Kingdom   of   the   Netherlands   (Rijksdienst   Caribisch   Nederland,   2016).   As   a   result,   many   of   the   policies   and   regulations  are  partly  influenced  by  the  Dutch  government.  

One  of  the  main  regulatory  developments  from  the  Dutch  government  in  2014  has  been   the  establishment  of  a  framework  for  distributed  generation,  allowing  customers  to  interconnect   their  own  generation  systems  to  the  grid.  This  may  potentially  make  RES  in  the  form  of  solar  and   wind  a  more  efficient  and  affordable  way  of  energy  consumption  for  those  with  the  capability  to   invest  in  it  (Rijksdienst  Caribisch  Nederland,  2014a;  Tweede  Kamer  der  Staten-­‐Generaal,  2014).   As  Bonaire  is  characterized  by  high  amounts  of  sun  hours  and  considerable  and  consistent  wind   speeds,   De   Tweede   Kamer   (vergaderjaar   2014-­‐2015)   states   that   this   potential   for   renewable  

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energy   production   must   be   utilized.   This   significantly   increases   the   accessibility   of   individual   energy  production.  Furthermore,  for  a  corresponding  fee,  the  Water-­‐  en  EnergieBedrijf  Bonaire   (WEB)  allows  individually  generated  electricity  to  be  sold  back  to  the  general  net.  In  this  way,   the  WEB  net  functions  as  a  storage  unit  thus  eliminating  one  of  the  main  problems  associated   with  individual  energy  production.  

  Moreover,   Scholengemeenschap   Bonaire   (SGB),   Bonaire’s   comprehensive   school,   and   WEB  are  starting  to  work  together  to  increase  the  knowledge  and  awareness  about  the  positive   effect  that  RES  may  have  on  the  long-­‐term  socio-­‐economic  development  of  Bonaire  (Rijksdienst   Caribisch   Nederland,   2014b).   Doing   so   is   important,   as   according   to   Roy   Silberie   from   WEB,   most   of   the   local   inhabitants   are   currently   more   interested   in   low   energy   and   water   prices   rather   than   renewable   energy   systems.   This   is   not   completely   illogical   considering   that   electricity  and  water  are  the  highest  fixed  costs  on  Bonaire  and  partly  renewable  energy  systems   are  less  affected  by  lowering  oil  prices  and  thus  lower  energy  costs.    

An  example  of  the  results  of  increased  awareness  and  knowledge  of  energy,  according  to   the   U.S   Department   of   Energy   (2011),   is   the   ability   to   reduce   domestic   household   energy   use.   This  may  increase  quality  of  life  in  the  form  of  increased  economic  and  environmental  security,   reduced   environmental   risks   and   monetary   savings,   which   then   again   may   be   used   for   socio-­‐ economic  development  in  societies  such  as  on  Bonaire.      

 

5.3  Operational  level  

Lastly,  on  an  operational  level,  processes  of  experimenting,  project  building  and  implementation   are  main  activities.  In  the  case  of  Bonaire,  some  of  the  activities  that  have  been  done  have  on  an   operational  level  have  already  been  mentioned  and  include  the  solar  power-­‐plant,  decentralized   energy  production,  algae  biofuel  production  and  community  energy  literacy.    

  As   RES   such   as   wind   and   solar   are   extremely   weather   dependent,   it   is   important   to   assess  the  potential  for  other  sustainable  sources  of  energy  to  increase  the  percentage  of  RES  on   Bonaire.   As   a   result,   a   project   was   started   to   adapt   the   seaside   ponds   formerly   used   for   salt   production   to   algae   biofuel   production   to   exploit   the   ideal   climatic   conditions   of   high   temperatures  and  sun  hours  throughout  the  year  (NREL,  2015).  However,  regardless  of  the  fact   that  is  an  innovative  way  of  increasing  the  RES  percentage  on  the  island,  developing  a  plan  and  a   facility  that  can  produce  biofuel  on  Bonaire  requires  between  three  to  five  years  of  research  and   development  (Power  Engineering  International,  2010).    

Moreover,   the   2014   regulations   that   allowed   decentralized   production   are   another   interesting   process   of   experimenting   in   which   the   implementation   of   RES   on   privately   owned  

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properties  would  be  able  to  increase  the  total  RES  mix  of  Bonaire  while  also  improving  social   cohesion  and  economic  development  by  the  reduction  of  energy  costs  on  the  island  (REC,  2015).     The   solar   power-­‐plant   is   another   initiative   by   WEB   to   analyse   the   feasibility   of   solar   energy  on  the  island  as  opposed  to  wind  energy,  which  is  now  the  more  favourable  RES.  What  is   even  more  interesting  is  that,  according  to  the  Curacao  Chronicle  (2014),  this  project  is  mainly   aimed   by   WEB   to   increase   solidarity   in   the   local   community.   By   centrally   generating   solar-­‐ energy,   WEB   stated   that   if   feasible,   it   will   benefit   all   Bonaire   residents   rather   than   only   inhabitants  with  the  capability  to  invest  in  privately  owned  solar  panels.    

Lastly,  a  good  example  of  transition  management  on  an  operational  level  is  the  current   cooperation  between  WEB  and  SGB  that  was  briefly  mentioned  in  the  previous  chapter.  In  this   cooperation,  WEB  and  SGB  concluded  an  agreement  in  which  a  pilot  project  for  solar  energy  on   the  roofs  of  the  school  will  be  conducted.  Furthermore,  WEB  and  SGB  will  start  working  together   to   teach   students   about   the   possibilities   and   constraints   of   renewable   energy   in   general   and   particularly  on  Bonaire  (Rijksdienst  Caribisch  Nederland,  2014b).    

6.  Problems  during  the  management  of  societal  change  

As   was   mentioned   in   the   introductory   chapter   on   transition   management,   Kemp   et   al.   (2007)   stated  there  are  generally  five  problems  that  arise  when  managing  processes  of  societal  change:   dissent,   distributed   control,   determination   of   short-­‐term   steps,   danger   of   lock-­‐in   and   political   myopia.   In   the   case   of   Bonaire,   several   problems   have   been   identified   that   have   arisen   during   the  transition  to  a  more  RES  energy  system.  In  this  chapter,  these  problems  will  be  dealt  with  by   using  the  previously  mentioned  five  problems  as  a  framework  to  do  so.    

 

6.1  Financial  conflict  with  the  energy  producer  

In   the   case   of   Bonaire,   there   have   been   a   variety   of   issues   with   dissent   that   have   periodically   inhibited   the   implementation   of   RES   on   the   island.   An   important   issue   regarding   energy   production   on   Bonaire   was   a   dilatory   conflict   between   WEB,   the   energy   distributor   and   Ecopower,  the  producer  of  energy  on  Bonaire  that  was  acquired  by  ContourGlobal  in  2013  (Van   Buiren   and   Van   Halderen,   2013;   Mazars,   2015).   WEB   hesitated   to   pay   for   increased   energy   prices  caused  by  increased  world  oil  prices.  Ecopower  argued  that  they  were  allowed  to  do  this   based   on   a   power   purchase   agreement   (PPA)   made   in   2007.   Van   Buiren   and   Van   Halderen   (2013)  state  that  the  management  of  WEB  in  times  of  the  negotiations  around  the  PPA  was  not   capable.  The  intention  of  WEB  during  the  negotiation  was  that  energy  cost  price  was  fixed,  but   because   of   mismanagement   this   did   not   end   up   in   the   final   agreement   with   Ecopower.    Consequently,   WEB   lost   the   trial   in   2012   and   has   to   pay   since   then   the   real  

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production  costs  of  energy,  compensated  for  world  oil  price  fluctuations.  Besides  that,  WEB  had   to  pay  Ecopower  extra  costs  up  to  10  million  USD,  due  to  technical  complications.    

  As   a   result,   the   financial   stability   of   WEB   decreased   significantly   and   an   unstable   continuity   was   created.   To   compensate   for   the   financial   drain,   electricity   costs   for   Bonaire’s   households   had   to   rise   sharply.   This   was   seen   as   undesirable   and   the   Dutch   ministry   of   economic  affairs  provided  a  temporary  financial  contribution  to  WEB.  Furthermore,  the  Dutch   government  started  a  pilot  for  effective  regulation  of  the  energy  sector  on  Bonaire  and  the  board   of  WEB  was  replaced  (Mazars,  2015).    

  Although   the   aid   by   the   Dutch   government   mitigated   the   predicted   increase   in   household’s  energy  prices  and  stabilized  WEB’s  financial  position,  the  mismanagement  by  WEB   caused  a  delay  in  the  implementation  of  RES.  The  opportunistic  view  of  the  former  WEB  board,   that  promised  decreasing  energy  prices  combined  with  a  higher  share  of  RES,  lead  to  a  lack  of   quality  in  governance.  Decisions  were  made  in  support  of  unrealistic  goals  and  contained  risks   for   the   continuity   of   the   company.   External   advisors   warned   for   the   consequences   of   these   decisions,  but  the  advice  was  not  used  in  the  decision-­‐making   processes   (Van   Buiren   and   Van   Halderen,  2013).    

 

6.2  Controversy  about  the  price  of  energy  

As  Kemp  et  al.  (2007)  stated,  control  is  distributed  over  a  variety  of  actors  with  different  beliefs,   interests  and  resources.  Consequently,  a  process  that  has  been  subject  to  various  problems  is  the   price  of  energy  on  Bonaire  over  time.    

For   example,   despite   the   fact   that   the   2014   regulations   that   allowed   decentralized   production   looked   like   a   win-­‐win   situation   in   which   the   implementation   of   RES   on   privately   owned   properties   would   increase   the   total   RES   mix   of   Bonaire   while   also   improving   social   cohesion  and  economic  development  by  the  reduction  of  energy  costs  on  the  island  (REC,  2015),   in   practice   this   came   with   a   variety   of   complications.   As   according   to   Bergenhenegouwen   &   Beuningen   (2012),  the   costs   that   WEB   makes   on   maintaining   the   grid   and   distribution   are   currently   shared   by   all   consumers   from   the   centralized   grid.   An   increase   in   decentralization   would  mean  that  the  people  that  were  not  able  to  invest  in  privately  owned  RES  in  the  first  place   and   are   still   on   the   centralized   grid   will   have   to   pay   even   more   for   their   energy,   increasing   economic  inequality.  Furthermore,  a  second  complication  is  that  peak  demand  always  has  to  be   able  to  be  produced  by  diesel  generators  in  case  that  the  weather  does  not  allow  wind  and  solar   energy  to  produce  enough  to  deliver  peak  demand.  These  costs  will  also  have  to  be  paid  by  the   people  without  the  money  to  invest  in  solar  energy  and  compromise  the  percentage  of  RES  in   the   energy   mix.   Lastly,   WEB   is   known   to   have   a   minimum-­‐purchasing   obligation   with  

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ContourGlobal   and   as   a   result,   too   much   decentralized   production   will   only   lead   to   a   loss   of   turnover   for   the   company   (Bergenhenegouwen   &   Beuningen,   2012).   Consequently,   implementation  of  RES  as  a  result  of  energy  price  is  indeed  a  trade-­‐off  between  the  wants,  needs   and  capabilities  of  different  actors  and  stakeholders.  Therefore,  it  is  important  to  find  a  balance   between   stimulating   decentralized   production   through   the   option   of   selling   to   the   net   and   avoiding  a  situation  where  investment  in  the  more  efficient  centralized  wind  and  solar  farms  are   disproportionately  discouraged.  ‘Economies  of  scale’  is  a  concept  used  to  describe  the  process  in   which   with   growing   production,   the   price   per   unit   of   output   will   decrease.   On   Bonaire,   electricity   generators   produce   electricity   for   the   18,500   inhabitants   with   the   diesel   generator   station  producing  14  MW.  Mayer  (2000)  states  that,  generally  speaking,  a  power  plant  reaches   maximum  economies  of  scale  with  more  than  9  MW.  

In  the  case  of  Bonaire,  issues  related  to  distributed  control  can  be  linked  to  poverty  and   economic  inequality.  Decentralized  production  of  RES  further  increases  the  existing  inequality   due   to   the   fact   that   the   resulting   increased   costs   are   shared   but   the   benefits   are   not.   For   this   reason,  demographic  data  on  income  and  income  inequality  can  indicate  whether  a  community   will  face  similar  problems  during  a  transition  to  RES.  

 

6.3  The  role  of  the  Dutch  government  in  stimulating  short-­‐term  steps  

As   was   concluded   from   the   Tweede   Kamer   der   Staten   Generaal   (2014),   electricity   forms   an   important  part  of  the  expenses  of  inhabitants  of  Bonaire  as  the  price  of  a  kilowatt-­‐hour  of  energy   is   approximately   double   as   compared   to   the   European   Netherlands.   Furthermore,   this   is   relatively   even   more   expensive   as   incomes   are   relatively   low,   and   accordingly,   high   tariffs   of   energy  can  only  just  be  afforded  (Tweede  Kamer  der  Staten  Generaal,  2014).  As  a  result,  one  of   the  short-­‐term  steps  that  may  be  needed  to  reach  a  100%  RES  energy  system  are  subsidies.  

Due   to   the   fact   that   energy   is   a   primary   resource   in   life,   it   is   desirable   that   energy   is   affordable  for  all  consumers.  Furthermore,  with  an  eye  on  an  increase  in  implementation  of  RES,   this   will   not   be   able   without   the   finances   made   available   by   consumers.   As   a   result,   on   short-­‐ term,   an   acceptable   tariff   for   energy   on   Bonaire   is   not   possible   without   subsidies   (Tweede   Kamer  der  Staten  Generaal,  2014).    

Therefore,   the   Tweede   Kamer   der   Staten   Generaal   (2014)   pleaded   for   a   subsidy   of   6   million  U.S  dollars  per  year  that  is  meant  to  cover  part  of  the  transport  and  maintenance  costs  of   WEB  so  that  energy  costs  may  be  lowered.  It  is  thought  that  as  a  result,  energy  costs  will  still  be   more   expensive   than   European   Netherlands,   but   that   these   will   lower   progressively   in   the   future.  This  will  partly  be  caused  by  the  continuous  increase  in  RES  percentage  and  efficiency  on   the  Bonaire,  which  in  time  will  economize  the  expensive  fossil  fuel  imports.  Consequently,  the  

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expectation  is  that  the  subsidy  will  be  able  to  be  cut  down  over  a  period  of  approximately  ten   years  (Tweede  Kamer  der  Staten  Generaal,  2014).    

 

6.4  The  release  from  -­‐and  avoidance  of  a  lock-­‐in  situation  

Like   most   energy   producing   communities,   Bonaire   was   locked   in   a   situation   where   previous   investments   in   fossil-­‐fuel   consuming   energy   production   halted   the   development   RES.   Implementing  RES  would  mean  discontinuing  costly  and  functioning  fossil-­‐fuel  generators.  Any   implementation  had  to  be  done  over  extended  periods  of  time  as  the  old  generators  had  to  be   replaced,  possibly  by  wind  or  solar  farms.  The  situation  changed  dramatically  when  the  fire  of   2004   destroyed   a   large   part   of   the   power   plant   and   the   full   compensation   by   the   insurance   companies   released   Bonaire   from   the   lock-­‐in   situation.   From   this   point,   the   governing   institutions   of   Bonaire   were   free   to   pursue   any   form   of   energy   production   they   pleased   (van   Buiren  &  van  Halderen,  2013).  This  opportunity  has  led  Bonaire  to  be  one  of  the  few  islands  in   the  Caribbean  that  has  been  able  to  pursue  a  more  renewable  energy  production.  Secondly,  the   current  power  generators  can  use  fossil-­‐fuels  as  well  biofuels.  This  makes  it  possible  to  further   increase  the  percentage  of  RES  without  added  costs,  avoiding  a  possible  lock-­‐in  scenario.    In  this   respect,   the   lock-­‐in   situation   and   sudden   release   from   it   has   allowed   Bonaire   to   come   to   a   situation  where  it  is  years  ahead  of  similar  islands  seeking  to  implement  RES.  This  is  the  reason   that  analysing  the  problems  and  benefits  that  Bonaire  faces  during  the  implementation  of  RES  is   so  valuable  for  future  development  of  similar  islands  or  small  communities.  

 

6.5  The  risk  of  a  small  political  body  

Since  a  transition  to  a  renewable  energy  system  takes  more  than  a  few  years,  the  vision  behind   the  transition  has  to  be  consistent  over  time.  Due  to  the  decades-­‐long  timeframe,  policymakers   from   different   generations   have   to   be   on   a   similar   line   regarding   the   importance   of   the   RES   transition  (Geels,  2005).  Bonaire  has  an  island  council  that  is  elected  every  four  years.  Besides   that,   the   board   of   the   WEB,   the   Dutch   government,   possible   investors   and   the   inhabitants   of   Bonaire  are  important  actors  that  can  change  their  behaviour  and  decision-­‐making  over  time.  

As   a   special   municipality   of   the   Netherlands,   Bonaire’s   main   political   body   is   the   eilandsraad,  or  island  council.  It  is  a  democratically  chosen  body  that  consists  of  nine  members   that  make  policy  and  install  and  control  the  bestuurscollege,  a  committee  that  executes  the  policy   set  by  the  island  council  (Openbaar  Lichaam  Bonaire  [OLB],  2015).  These  nine  people  are  chosen   every   four   years   and   do   have   an   important   influence   on   Bonaire’s   vision.   Political   myopia   is   therefore  a  serious  risk,  the  opinion  of  nine  people  that  can  change  every  four  years  do  not  have  

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to  be  stable.  On  the  other  hand,  the  island  councils  history  show  that  two  main  parties  have  the   majority  that  can  maintain  their  long-­‐term  vision  (OLB,  2015).    

The   conflict   around   WEB-­‐Ecopower   (Van   Buiren   and   Van   Halderen,   2013)   is   another   example  that  shows  the  vulnerability  of  a  long-­‐term  transition  caused  by  a  short-­‐term  shift  in   influential  actors.  The  board  of  the  WEB  before  2012  was  opportunistic  in  its  renewable  energy   policy,   but   due   to   a   lack   of   experience   and   knowledge   wrong   decisions   were   made,   that   proposed  a  risk  for  the  whole  transition.  The  Dutch  government  helped  the  WEB  to  sustain  its   long-­‐term   goals   and   the   old   board   is   replaced,   but   the   whole   situation   showed   instability   and   insecurity.   This   makes   the   island   less   attractive   for   foreign   investors   that   are   needed   for   reaching  the  long-­‐term  energy  goals.    

 

Interestingly,   two   of   the   five   problems   stated   by   Kemp   have   resulted   in   an   opportunity   in   the   case  of  Bonaire.  Table  1  provides  an  overview  of  the  situation  on  Bonaire  associated  with  these   problems  and  their  proposed  causes.    

 

Table   1.   Overview   of   difficulties   (red)   and   opportunities   (green)   faced   by   Bonaire   during   the   transition   to   RES,  the  related  problems  as  stated  by  Kemp  (2007)  and  the  identified  causes.  

Situation  Bonaire   Problem  (Kemp)   Cause  

Bonaire  was  able  to  develop   a  renewable  energy  

production  system  without   constraints  caused  by  past   investments  

Danger  of  lock-­‐in   2004  fire  destroying  the  old   diesel-­‐generators  

Long-­‐term  plans  are  present   and  stimulated  with  the   possibility  for  subsidies  

Lack  of  long-­‐term  vision   Dutch  governments   involvement  in  energy   policies  on  the  ABC-­‐islands   A  long-­‐lasting  financial  

conflict  with  Ecopower   causing  financial  loss  and   loss  of  reputation  

Conflict   Lack  of  experience  in  dealing   with  large  corporations   Unequal  distribution  of  costs  

and  benefits  resulting  from   the  implementation  of   decentralized  RES    

Distributed  control   Poverty  and  economic   inequality  on  Bonaire   The  risk  of  politics  to  turn  on  

previous  decisions  regarding   the  implementation  of  RES  

Political  myopia   The  high  turnover  rate  of   politicians  in  office  on  Bonaire  

7.  Conclusion  

As   one   of   the   leaders   in   RES   in   the   Caribbean,   Bonaire   provides   an   interesting   case   study   in   which  understanding  their  current  energy  situation,  decision-­‐making  and  problems  during  the   implementation  of  RES  may  prove  useful  in  assessing  RES  transitions  for  similar  islands  in  the   near  future.    

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