United NationsДепартамент по экономическим и социальным вопросам Устойчивое развитие

Norway

CSD 14
Statement by the Norwegian Delegation
State Secretary Anita Utseth, Ministry of Petroleum and Energy
Thematic Discussions on Investing in energy and industrial development: challenges
and opportunities.
Friday 5th May 2006
Mr. Chair,
Investment in the energy sector is crucial. Investment in modern energy services is
essential to achieve sustainability, reaching the Millennium Development Goals. There is
a huge infrastructure backlog in partner countries and there are limits of public finance. It
is a challenge for all of us.
We need to focus on the benefits of investing in energy. Investment in the energy sector
is a driver for economic growth.
We need to prioritize public spending on energy infrastructure. A two-pronged approach
is needed:
· First, public resources should be used for investments, especially to the public
good components of energy infrastructure like transmission grids.
· Second, private resources, especially local, should be mobilized for needed
investments.
This approach would require partner country governments to conduct good economic and
social assessments and to have technical capacity to prioritize investments. Development
of energy infrastructure is capital intensive. Therefore long-term predictability of public
investments and donor support is required. We as donors should provide predictable,
long-term assistance, support a mix of financial instruments, including credit
enhancements through provision of guarantees, and provide technical assistance to build
capacity.
Mr. Chair, the response of the Norwegian government to this challenge, is to make
energy a priority area of Norwegian development cooperation. Last year we launched the
Norwegian Oil for Development Initiative. This initiative seeks to build on existing
activities, but significantly expands support to countries requesting inputs and
cooperation on various aspects of Norwegian oil and gas experience. Governance issues,
environmental protection, revenue management, stake-holder involvement, transparency
and anti-corruption activities as well as democratic control of oil sector management will
feature strongly in this new Initiative. Norway has more than 100 years of experience
with hydropower development. A similar initiative is now planned for the power sector.
Norway has also supported the establishment of the oil shock facility with the IMF.
Thank you!
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