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Lex Mundi Global Climate Change Guide

Grenada

(Latin America/Caribbean) Firm Grant, Joseph & Co.

Contributors Sheila Harris

Updated 18 May 2021
Has your country signed/ratified the Paris Agreement? If so, what is its INDC / NDC?

Grenada signed and ratified the Paris Agreement on April 22, 2016. 

Grenada submitted its first intended nationally determined contribution ("INDC") in 2015. Grenada submitted its second nationally determined contribution ("NDC") on November 30, 2020. These NDCs relate to greenhouse gas ("GHG") emissions and Grenada’s commitment to the Paris Agreement by holding the increase of the global average temperature to well below 2oC above pre-industrial levels while pursuing efforts to limit the increase to 1.5oC.

What are the key national policy instruments regarding climate change and what are the national long term greenhouse gas emissions (GHG) reduction targets?

Grenada has implemented several policies linked to climate change including but not limited to;

  1. National Climate Change Policy 2017 – 2021, the predecessor to the National Climate Change Strategy and Action Plan ("NCCSAP") 2007 – 2011; 
  2. National Sustainable Development Plan 2035;
  3. National Climate Change Adaption Plan ("NAP") 2017 – 2021;
  4. National Energy Policy ("NEP");

These policies all assist in Grenada’s commitment to its NDCs and sustainable development. Some of the aforementioned policies such as the NEP are currently being revised, as they expire this year.

Further, Grenada’s net Greenhouse Gas ("GHG") emissions in 2010 were estimated to be 216.9 GgCO2e. Grenada has committed in its NDCs to reducing these GHG emissions by 30% from 2010 levels by 2025, with further reduction by 40% from 2010 levels by 2030. This reduction is conditional on external funding and will be done through interventions in the energy sector affecting transport, waste, forestry and industrial processes and product use (IPPU) sectors. The second NDC also recognizes and includes a reduction in the emissions of F – gases being hydrochlorofluorocarbons ("HCFC") and hydrofluorocarbons ("HFC") and their mixture/blends.

Further, in 2017 the Government of Grenada created a Ministry of Climate Resilience, The Environment, Forestry, Fisheries and Disaster Management. This Ministry in conjunction with other ministries deals with the development of climate change in the country and aids in the continuous restructuring and implementation of the NAP and sustainable development by providing strategic frameworks for climate change adaptation and programs, including the updating and revisions of said policies as is necessary.

Have national policies or legislation been adopted limiting or prohibiting the use of certain fossil fuels (e.g. coal, natural gas, nuclear)?

Grenada has committed to reducing GHG emissions through increased energy efficiency and implementing renewable energy measures. For example, the Government of Grenada has sought to phase out the use of Chlorofluorocarbon ("CFCs") and Hydrochlorofluorocarbons ("HCFCs"), through policies contained in the NEP.

What specific national climate change legislation has been adopted?
  • Abatement of Litter Act No. 24 of 2015;

(As amended by the Abatement of Litter Amendment Act, 2018)

  • Electricity Supply Act No. 19 of 2016;

(As amended by the Electricity Supply Amendment Act, 2017)

  • Public Utilities Regulatory Commission Act No. 20 of 2016

(As amended by the Public Utilities Regulatory Commission Amendment Act, 2017)

  • Physical Planning and Development Act No. 23 of 2016;

(As amended by the Physical Planning and Development Amendment Act, 2017)

  • Hydrocarbon Exploration Incentives Act No. 10 of 2017;
  • Non – Biodegradable Waste Act No. 9 of 2018;
Does your country participate in an international or national GHG emissions trading scheme?

No, Grenada does not participate in an international or national GHG emissions trading scheme.

Has a national CO2 tax or similar instrument been adopted?

No, Grenada has not adopted a national CO2 tax or similar instrument. 

Does national legislation regulate and/or subsidize carbon capture and storage (CCS)?

No, the legislation does not regulate and/or subsidize carbon capture and storage. 

Are the production and/or use of renewable energy sources subject to a national subsidy or similar support scheme?

Grenada has instituted legislation to foster the use of renewable energy, for example, the Hydrocarbon Exploration Incentives Act No. 10 of 2017 which grants Value Added Tax ("VAT"), National Insurance Scheme ("NIS"), income tax and customs duties exemptions on the importation of energy-efficient technologies and other incidental matters. Other exemptions relating to renewable energy can be found in the Customs Act No. 9 of 2015 and the Value Added Tax Act CAP. 333A.  

What are the main national measures being taken to reduce GHG emissions / improve energy efficiency in the built environment?

Grenada hopes to introduce tax incentives for the use of solar panels and water heaters on buildings as well as providing energy-efficient lighting in government buildings. Further, there is the hope to establish legislation and policies for energy-efficient building codes throughout the island which is currently before the Grenadian Cabinet, in conformity with the CARICOM Regional Efficiency Building Code

What are the main national measures being taken to reduce GHG emissions / improve energy efficiency in the transport sector?

Grenada has turned away from the use of non-renewable fuel sources and has turned towards biofuel blends, which help reduce the carbon footprint. Grenada also hopes to impose taxes further on gas and diesel. The Ministry of Infrastructure Development, Public Utilities, Energy, Transport & Implementation of Grenada is currently working on further measures to further climate change adaption including the creation of educational programs to encourage the Grenadian public to purchase and use more fuel and energy-efficient vehicles. 

What are the main national measures being taken to reduce GHG emissions / improve energy efficiency in the industry?

Grenada is continuing to implement educational programs geared towards sensitivity to climate change and the impact of the carbon footprint by businesses. They have further considered tax incentives for certain industries to use energy-efficient equipment and processes such as heat recovery, to aid in better air quality.

What are the main national measures being taken to reduce GHG emissions / improve energy efficiency in agriculture and land use?

The Ministry of Agriculture and Lands of Grenada has created a strategy called Climate Smart Agriculture ("CSA") which among others educates farmers on better farming practices to aid in the fight against climate change. Further, Grenada has implemented several initiatives including the prohibition of sand mining, voluntary replanting of mangroves and the management of coral reefs. They have also sought to plant fast-growing species of certain crops to reduce fire risk and double carbon storage in protected areas such as in Grand Etang National Park. 

For example, through the Planning and Development Control Act No. 33 of 2016, environmental impact assessments may be carried out before land is developed, to ascertain the impacts that development has on the environment, which may affect climate change. 

What are the main national measures being taken to reduce GHG emissions / improve energy efficiency in the electricity production sector?

Grenada has sought to make use of alternative forms of renewable energy sources such as solar, geothermal, hydrocarbon, and wind to waste. They have also begun to retrofit buildings with these alternative energy sources as well as the implementation of energy-efficient policies in the hotel and tourism sectors. These acts are done in conjunction with the recently formed Public Utilities Regulatory Division and the Ministry of Finance, Economic Development, Physical Development, Public Utilities and Energy in the form of educational programs and other initiatives. Grenada is also working on implementing further energy-efficient measures in the form of an Electric Efficiency Bill which will work in conjunction with the Electricity Supply Act No. 19 of 2016 to further meet the objectives outlined in Grenada’s NDCs.

What measures are national financial institutions (incl. banks, pension funds, asset management companies and insurance companies) aimed at reducing the GHG emissions of their customers?

Not applicable. 

Are there prominent national climate change litigation cases in your country? If so please provide a short description (e.g. plaintiffs/defendants, public or civil law based, etc.).

Not applicable. 

Climate change policies, measures or legislation (other than those covered by the questions above)

Grenada is currently in the process of developing and finalizing regulations under the Electricity Supply Act No. 19 of 2016, for submission to the cabinet. Though slowed by the current COVID-19 Pandemic, Grenada through the aforementioned ministries including the Energy Division of the Ministry of Finance, Economic Development, Physical Development, Public Utilities and Energy is actively working on implementing and establishing legislation, policies and regimes to further meeting the targets set out in the NDCs. This includes public education on climate change and its effects on the environment. 

Further, through consultations with public, private, commercial, regional and international bodies, Grenada is committed to the assessment of its climate change policies and measures through reports on the success of its implementation processes thus far, with revisions and adjustments to be done throughout 2022 – 2027. 

Lex Mundi Global Climate Change Guide

Grenada

(Latin America/Caribbean) Firm Grant, Joseph & Co.

Contributors Sheila Harris

Updated 18 May 2021