UNDP manages the Annual National Energy Outlook (KNEO) Project for the production of an annual report, implemented by the Kuwait Institute for Scientific Research (KISR) on behalf of the government, and supported by the General Secretariat of the Supreme Council for Planning and Development (GSSCPD), along with the ministries and other governmental agencies that provide data to be collected in the reports. UNDP has been working closely with KISR to strengthen their capacity to produce this annual KNEO Report, and to be able to support the planning and development of evidence-based policy based on the KNEO Report findings. The project has been aligned with the compatible Sustainable Development Goals (SDGs).
Like many oil-producing countries, Kuwait now faces sustainable development challenges as it explores ways to relieve primary dependence on the oil sector for GDP growth and economic development. A diversified economy would cushion the country from continuously fluctuating global oil prices, which have direct effects on Kuwait’s economic and social growth and environmental situation. Energy security, which is strongly affected by changing oil prices, directly finances the nation’s social welfare and safety nets. A future Kuwait with diversified energy sources will not only reduce the energy consumption per capita, but will free more oil for export rather than domestic use, and better support government revenue.
Work has commenced and is in progress on the first ever Kuwait Annual National Energy Outlook (KNEO) report, based on international practices and the first of its kind to be produced in an Arab country; and in collaboration with the International Energy Agency (IEA), a KISR scientist will be sent to Paris to learn IEA modelling and analysis methods as used in their World Energy Outlook (WEO). Links have also been established with the Stockholm Energy Institute (SEI), developers of LEAP software, in addition to training has been arranged for Kuwaiti analysts to learn forecasting and analysis methods to produce KNEO Report.