A Draft National Energy Policy was submitted for approval in October 2009 to the Government of Palau, through the Palau Energy Office. Areas addressed in the policy included:the improvement of institutional arrangements for energy sector management and the creation of an Energy Administration to implement measures in the NEP and it's related strategic action plan, a reduction in national energy consumption through energy efficiency measures, with a target of reducing total final consumption by 30% by 2020, anda 20% target for renewable energy contribution to the energy mix by 2020, as well as a reduction in the use of imported hydrocarbons.Under the Pacific Islands Energy Policy and Strategic Action Planning (PIEPSAP) project, an Energy Conservation Strategy is being developed. The main aim is to implement and enforce existing government regulations related to energy efficiency.The European Union's REP-5 Programme funds demand-side energy efficiency activities, with a project that subsidises over 20,000 Compact Fluorescent Lights (CFLs) for households. As part of this program, a National Energy Efficiency Action Plan was developed in 2008, detailing 14 energy efficiency activities that could benefit the country, including public and private building refits, subsidies for domestic biogas digesters, and home energy auditing.The European Commission has proposed €2.47m for the development of renewable energy in the period of 2009-2013 through the EDF-10 program. An additional €0.43m has been proposed to fund Technical Assistance studies.The UNDP will provide US$4.4m over the period 2009-2013 to widen the scope of the EU-funded solar energy development project, by addressing all potential renewable energy (RE) resources in Palau in meeting the energy demands in the various energy-consuming sectors of the Palauan economy.The International Union for Conservation of Nature’s (IUCN) Palau energy project targets energy efficiency for households and is being implemented by the National Development Bank of Palau (Ndbp). Through this project it is expected that electricity consumption will be lowered by an estimated 15% in new homes, and that a local market for energy efficient products and services will be developed.In 2009, the Japan International Co-operation Agency (JICA) announced it would be financing the “Project for Introduction of Clean Energy by Solar Electricity Generation Systems” of the Government of Palau. JICA provided approximately US$5 million for the project, which aimed to install 180 kW of PV arrays at Palau International Airport, by June 2011.