Policy Dialogue Conference The Role of Renewable Energy for Poverty Alleviation and Sustainable Development in Africa

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1 Policy Dialogue Conference The Role of Renewable Energy for Poverty Alleviation and Sustainable Development in Africa A contribution to the dialogue between EU and Africa in the framework of the European Union Energy Initiative - EUEI June 2005 Dar es Salaam, Tanzania Moevenpick Royal Palm Hotel Ohio Street Conference Programme PARTNERS FOR AFRICA is a project co-funded by the European Commission (DG RTD) in the 6 th Framework Programme Specific Measures in Support of International Cooperation. (Contract FP6-INCO-DEV ), as a contribution to the EU Energy Initiative for Poverty Eradication and Sustainable Development The objective of PARTNERS FOR AFRICA is to demonstrate the role of renewable energy in poverty eradication and to offer support to policy making activities in sustainable resource management, health and enterprise development The PARTNERS FOR AFRICA consortium comprises 6 highly competent actors, active in the renewable energy and international development fields. The 3 European members of the consortium are the WIP-ETA Consortium (Germany/Italy), ITDG (UK) and SEI (Sweden). The African consortium members are Illovo Sugar (South Africa), ENDA (Senegal) and CEEEZ (Zambia).

2 Objective The main objective of the conference is to: Raise awareness among high level decision makers on the potential of renewable energy in poverty alleviation and in improving access to energy services. Provide inspiration and background information for policymakers, investors and service providers. Background and focus The project PARTNERS FOR AFRICA is implemented in close co-operation with the European Energy Initiative for Poverty Eradication and Sustainable Development (EUEI), which was launched at the Johannesburg World Summit for Sustainable Development to help achieve the Millennium Development Goals. In close collaboration with Developing Countries, the EUEI works with a full menu of technical and institutional options, including rural electrification, decentralised energy systems, increased use of renewable energy and enhanced energy efficiency, including more efficient use of traditional biomass. Within this context, the PFA project focuses on the role of renewable energy and provides support through the mobilisation of international and local partnerships for the development of new programmes and initiatives. Among the major drivers for the development of energy policies in Africa are the need for economic and social development, the need to ensure security of energy supply based on locally available resources, the need for foreign exchange savings through the substitution of energy imports, the need for improvements of the health situation and the need for job creation and income generation in rural areas. The main focus of the conference will be renewable energy as an integrated element of poverty oriented energy policies, best practice projects and programmes where renewable energies deliver energy services for poor areas, options for financing and discussion of future perspectives. More specifically, the conference will address: mechanisms for delivery of energy services from renewable energy, including successful financial and organisational models the potential of renewable energy for enterprise development and productive purposes efficient use of traditional biomass for the reduction of time consumption and indoor air pollution, the improvement of the health situation and conservation of natural resources the potential of renewable energy for rural electrification and decentralised energy systems renewable energy market development and the role of the private sector Conference Programme (20 June 2005) 2

3 Conference Organisation The conference is organised by WIP - Renewable Energies in collaboration with TaTEDO, Tanzania, in the framework of the project PARTNERS FOR AFRICA, funded by the European Commission, DG Research. Conference coordinators/contact points: Rainer Janssen, WIP Renewable Energies (rainer.janssen@wip-munich.de) Maurice Pigaht, WIP Renewable Energies (maurice.pigaht@wip-munich.de) Estomih Sawe, TaTEDO (energy@tatedo.org) Participants will include high level decision makers from several African countries, representatives from the European Commission, EU Member States, the World Bank, the Private Sector, other international initiatives (e.g. NEPAD, GNESD, GFSE, GVEP) as well as national and international energy experts and stakeholders. Preliminary Conference Programme DAY 1 (WEDNESDAY 22 nd JUNE 2005) 08:00 09:00 Conference Registration Opening Session 09:00 09:15 Welcome Address Invocavit H Swai, Director of Policy and Planning, Ministry of Energy and Minerals, Tanzania 09:15 09:30 Welcome Address by the Tanzanian Host Organisation Estomih N. Sawe, Executive Director TaTEDO 09:30 09:45 Welcome Address by the EC Delegation in Tanzania Antonio Lopez Peña, Head of Operations, EC Delegation in Tanzania 09:45 10:00 The EC Project Partners for Africa Progress and Results Dr. Rainer Janssen, Partners for Africa Project Co-ordinator, WIP, Germany Dirk Pottier, Scientific Officer, European Commission, DG RTD - INCO Conference Programme (20 June 2005) 3

4 Session 1: Presentation of on-going energy policy initiatives and strategies with a focus on access to energy and the role of renewable energy Chairs: Estomih N. Sawe, TaTEDO, and Dr. Rainer Janssen, WIP 10:00 10:30 Tanzania s National Energy Policy, Rural Energy Agency and Rural Energy Fund Eng. Ngosi C. X. Mwihava, Ministry of Energy and Minerals, Tanzania 10:30 11:00 Coffee Break 11:00 11:30 South Africa s White Paper on Renewable Energy Brett Dawson, Department of Minerals and Energy, South Africa 11:30 12:00 The Current Review Process of Zambia s National Energy Policy Michael Mulasikwanda, Ministry of Energy and Water Development, Zambia 12:00 12:30 Policy and Strategy of the Senegalese Government for the Energy Sector Cheikh Wade, Ministry of Energy and Mines, Senegal 12:30 14:00 Lunch Break Chairs: Dr. Salimata Wade, ENDA, and Dr. Peter Helm, WIP 14:00 14:30 Development of Sustainable Rural Energy Strategies at District Level in Tanzania Estomih N. Sawe, TaTEDO, Tanzania 14:30 15:00 The Global Network on Energy for Sustainable Development (GNESD) - Energy, Development and Environment issues in Africa to reach the MDG Stanford Mwakasonda, Energy Research Centre (ERC), University of Cape Town, South Africa 15:00 15:15 REEEP Supporting Policy Initiatives for Clean Energy Markets and Financing Energy Projects in Africa Sibusiso Mimi, Renewable Energy and Energy Efficiency Partnership (REEEP), Regional Secretariat for Southern Africa 15:15 15:30 Alleviating Poverty trough the Provision of Local Energy Sources Dean Cooper, Parallax Sustainable Development Solutions, South Africa 15:30 16:00 Coffee Break Conference Programme (20 June 2005) 4

5 Session 2: Best Practice actions (Part 1) Chairs: N. C. X. Mwihava, Ministry of Energy and Minerals, and Maurice Pigaht, WIP 16:00 16:30 Cooking Energy in Tanzania: Fuel Substitution and Improvement of Energy Efficiency Godfrey A. Sanga, TaTEDO, Tanzania 16:30 17:00 Employment Generation and Poverty Alleviation through Wind Powered Water Pumping A Private Sector Experience from Kenya Mike Harries, Bobs Harries Engineering Ltd., Kenya 17:00 17:30 Solar PV Rural Electrification Lessons from South Africa and Zimbabwe Maxwell Mapako, Energy Research Centre, South Africa 17:30 18:00 Renewable Energy for Sustainable Development in Senegal Dr. Salimata Wade, ENDA, Senegal 18:00 18:30 Small Capacity Bioenergy Complexes for Decentralised Energy Production in African Countries Dr. Giuliano Grassi, European Biomass Industry Association (EUBIA) 18:30 19:00 Small Hydro and Development The Experience of ITDG Teodoro Sanchez, Intermediate Technology Development Group (ITDG), United Kingdom Session 2: Best Practice actions (Part 2) DAY 2 (THURSDAY 23 rd JUNE 2005) Chairs: Beni Mwenda, MATI Ukiriguru, and Silvia Vivarelli, ETA 08:00 08:30 National Charcoal Survey of Kenya: Exploring the Potential for Sustainable Charcoal Trade in East Africa Stephen N. Mutimba, Energy for Sustainable Development (ESD) AFRICA, Ltd., Kenya 08:30 09:00 The Kakira Sugar Works Bagasse Cogeneration Project in Uganda Farhan Nakhooda, Kakira Sugar Works (1985) Ltd., The Madhvani Group, Uganda 09:00 09:30 Social Development through Outgrowers, Schools and Hospitals - The Private Sector Kilombero Business Linkage Program Denis Tomlinson, Illovo Sugar Ltd., South Africa 09:30 10:00 Poverty Reduction Potential of Energy Crop Production (Sweet Sorghum, Jatropha) for Liquid Biofuels Prof. Francis Yamba, CEEEZ, Zambia and Dr. Munyinda, University of Zambia 10:00 10:30 Coffee Break Conference Programme (20 June 2005) 5

6 Session 3: Financing the provision of sustainable energy services from renewable energy Chairs: Mr. E. Ng wandu, CARMATEC, and Prof. Francis Yamba, CEEEZ 10:30 11:00 SIDA Cooperation on Rural Energy with Tanzania and other African Countries Kjell Larsson, Swedish International Development Cooperation Agency (SIDA), Sweden 11:00 11:30 CDM as Source of Financing for Renewable Energy Services Steve Thorne, SouthSouthNorth, South Africa 11:30 12:00 The Ghana Experience in Funding Rural/Renewable Energy through Levies on Fossil Fuels and Electricity Wisdom Ahiataku-Togobo, Ministry of Energy, Ghana 12:00 12:30 Renewable Energy in Electricity Supply Concession Schemes (Case study: Senegal) Dr. Amadou Sow, Agence Sénégalaise d'electrification Rurale (ASER), Senegal 12:30 13:30 Lunch Break 13:30 14:00 Innovative Approaches in current World Bank Energy Portfolio for African countries Pablo Rosenthal-Brendel, The World Bank 14:00 14:30 African Rural Energy Entrepreneurship Development (AREED) Initiative in Tanzania Lema, TaTEDO, Tanzania 14:30 15:00 Activities of the African Development Bank in the Energy Sector The FINESSE (Financing Energy Services for Small-scale Energy Users) Program Alois Mhlanga, African Development Bank (PSDU), FINESSE Program 15:00 15:30 Opportunities offered by the European Commission, including the proposed Energy Facility and other Instruments Dirk Pottier, Scientific Officer, European Commission, DG RTD - INCO 15:30 16:00 Coffee Break Conference Programme (20 June 2005) 6

7 Session 4: The way forward Chairs: Gertrude Lyatuu, UNDP, and Maria Morales, Stockholm Environment Institute This session will exchange views and look forward, with a focus on the following topics: Suggestions and recommendations for energy related policies supporting poverty alleviation and sustainable development in Africa, with a focus on the role of renewable energy Stimulation of public-private partnerships for the delivery of energy services for poverty alleviation, including the role of renewable energy 16:00 16:30 SADC Policy Concept on Farming for Energy for Better Livelihoods in Southern Africa (FELISA) Stefan de Keyser, SADC, Botswana 16:30 17:00 Bioenergy and Sustainability: Measurements and Markets Dr. Jeremy Woods, Imperial College, United Kingdom 17:00 18:15 Discussion Round The Way Forward Moderators: Dr. Jeremy Woods, Imperial College, James Ngeleja, National Environment Management Council Closing Session 18:15 18:30 Policy Dialogue Conference - Summary and Conclusion Conference Programme (20 June 2005) 7

8 Technical Tour (FRIDAY 24 th JUNE 2005) The participation in the Technical Tour organised in the framework of the Partners for Africa Policy Dialogue Conference in Tanzania on 24 June is limited to consortium partners of the PARTNERS FOR AFRICA project and invited guests due to limited transport capacity. Technical Tour: Visit of the Kilombero Business Linkage Program (KBLP) implemented by the Kilomero Sugar Company Ltd. (KSCL) Time: 08:00 15:00 Location: Kilombero Sugar Company Ltd., Kidatu Organiser: Illovo Sugar Ltd. South Africa (PfA project partner) This technical tour will serve to gain insight in the KBLP which has assisted outgrowers and SME service providers, and thereby provided support for social development within the remote and poor Kilombero region of Tanzania. Kilombero Business Linkage Program The Kilombero Sugar Company Ltd (KSCL), the largest sugar manufacturer in Tanzania and subsidiary of Illovo Sugar Ltd, is committed to poverty alleviation in the remote and poor Kilombero region. To date, since privatisation, KSC has invested approximately Tshs 3.5 billion, which equates to roughly US $3.5 million into social development through Outgrowers, schools and hospitals within Kilombero. In line with Government strategies and the national sugar development program, KSC has begun developing a strong Outgrower community that will be self-sustaining and will ultimately supply up to 1 million tonnes of sugar-cane to KSCL to support their planned expansion from 72,000 tonnes to 200,000 tonnes of sugar by the year US$ 2.7 million of the social investment has been in Outgrower development through technical and financial support and infrastructure development. The Government of Tanzania has a progressive approach to the development of the Agricultural sector, recognising its importance within the Tanzanian economy in the plight to eradicate poverty within the country. The recently published Sugar Act and the formation of the Sugar Board support and promote initiatives incorporating the development of the local communities as a partnership with major investors into the sugar industry to underpin the national plan for Tanzania to be self-sufficient in sugar production. To facilitate this community and industry growth, KSC has identified a number of business linkage programs that will help in the development of local SMEs and to create sustainable development and business opportunities for the local community in the region and support the development of the Outgrower community in line with the opportunities created by the investment and expansion program of KSC. Conference Programme (20 June 2005) 8

9 EU Energy Initiative for Poverty Eradication and Sustainable Development In order to respond to the unmet needs for energy services to meet the Millennium Development Goals, the European Union developed the EU Energy Initiative for Poverty Eradication and Sustainable Development (EUEI). The Initiative was launched at the World Summit on Sustainable Development (WSSD) in September It demonstrates the commitment of EU Member States and The European Commission to supporting improved access to sustainable energy services for poverty alleviation in developing countries. Through the Initiative, the EU proposes to work with developing countries towards creating the necessary conditions in the energy sector to achieve their national economic, social and environmental objectives, and address poverty issues, in particular by maximising energy efficiency, including the more efficient use of fossil fuels and traditional biomass, and increasing the use of renewable energy. Activities implemented under the Initiative are driven by the needs and priorities of the participating developing countries. The EC and EU Member States invite developing countries and other stakeholders to become part of the Initiative and to participate in the further development and implementation of partnerships at the national and regional level. By creating partnerships that focus on energy and poverty, the Initiative aims to: raise political awareness among high level decision makers clarify and promote the need for energy services for poverty reduction and sustainable development stimulate coherence and synergy of energy related activities attract new resources (capital, technology, human resources), e.g. from the private sector and civil society. More information on the EU Energy Initiative is available at the web site Conference Programme (20 June 2005) 9

10 The PARTNERS FOR AFRICA consortium In this action, the consortium has a high level of expertise and high quality contacts in Sub- Saharan Africa and Europe at its disposal. The consortium comprises 6 actors, active in the renewable energy and international development fields. 3 of these are of European, and 3 of African origin. The 3 European members of the consortium are: WIP-ETA Consortium (WEC), Germany/Italy ITDG, UK SEI, Sweden These players lend particular strength to this project through their experience in the coordination of the global energy and development networks: LAMNET ( CARENSA ( Sparknet ( These networks deal with local, national and international energy and development issues. These interdisciplinary networks support international dialogue and action fora, bringing together key actors and stakeholders from the energy, biomass and development sectors. The African consortium members are highly experienced and have an established reputation in the fields of renewable energy and development from a wide range of past projects and collaborations. They are: Illovo Sugar, South Africa ENDA, Senegal CEEEZ, Zambia Contacts for further information: WIP Rainer Janssen / Maurice Pigaht, rainer.janssen@wip-munich.de /maurice.pigaht@wip-munich.de ETA Silvia Vivarelli, silvia.vivarelli@etaflorence.it ITDG Teodoro Sanchez, Teodoro.Sanchez@itdg.org.uk SEI Francis Johnson / Maria Morales, francis.johnson@sei.se / maria.morales@sei.se ILLOVO Denis Tomlinson, dtomlinson@illovo.co.za ENDA Salimata Wade, salywade@ucad.sn / energy2@enda.sn CEEEZ Francis Yamba, Yamba@eng.unza.zm / ceeez@coppernet.zm Conference Programme (20 June 2005) 10