Costa Rica

Assessment of Policy Instrument Portfolio, Enabling Legal Framework and GHG Emissions Management System Needs

EXPERTISE : , Policy and Institutional and Regulatory Frameworks
SECTOR : , Public


The World Bank


Project description

The Partnership for Market Readiness (PMR) is a grant-based capacity-building trust fund that provides funding and technical assistance for the collective innovation and piloting of market-based instruments that reduce greenhouse gas emissions. By participating in the PMR, Costa Rica seeks to further the assessment; design and pilot its domestic voluntary carbon market to stimulate enhanced mitigation actions in priority sectors and hence contribute to achieving its long-term carbon neutrality goal.

In light of the deficiencies and the general obsolescence of the current energy efficiency (EE) policy framework, the Ministry of Environment and Energy (MINAE) requested expert technical assistance to define a robust long-term energy efficiency strategy and policy mix. These would inform the establishment of an adequate legal framework to ensure policy implementation and guarantee its effectiveness, in line with the country´s Nationally Determined Contribution (NDC) goals and PMR project objectives.

Econoler has been mandated to provide advisory assistance to the MINAE in the assessment of climate-friendly EE policy instruments, measures, and regulations in preparation for the implementation of Costa Rica’s long-term VII National Energy Plan 2015-2030 while contributing to its ambitious climate goals set out in its NDC under the UN Paris Agreement.


Econoler has been mandated to carry out the following activities:
  • Develop a robust technical set of energy efficiency policy options for electricity and fuels, designed to achieve Costa Rica’s energy and mitigation goals by:
    • Assessing current and planned EE policies and regulatory framework
    • Establishing a complete inventory or Costa Rica’s EE and climate-related policies, including the analysis of the country’s current energy and electricity matrix and evaluation of existing barriers to EE policies;
    • Reviewing international best practices for developing EE policies;
    • Reviewing and discussing policy outlooks and visions with relevant authorities;
    • Defining a complementary set of EE policies and assessing their potential impacts on energy savings, GHG emissions reduction, macroeconomic concerns, competitiveness, and prices;
    • Facilitating stakeholder engagement on the proposed EE policy portfolio through a workshop in San Jose.
  • Elaborate a long-term EE strategy and action plan to implement the National Energy Plan 2015-30 by including the following components:
    • Selected priority policies, measures, and actions (or programs);
    • Key stakeholder responsibilities, including authorities are their respective jurisdictions;
    • Required resources including financial, human and others for each action;
    • A monitoring mechanism for each action;
    • Clearly defined implementation milestones; and
    • Options for the development of new EE legislation.
  • Propose a measuring, reporting and verification (MRV) scheme for selected energy efficiency actions and policies compatible with elements of the national MRV system and develop an institutional arrangement and capacity building for relevant actors.

The work of Econoler will enable the MINAE to operate an EE action plan with defined targets and assess implementation to ensure compliance with the NDC.

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