Renewable energy, energy efficiency and access to energy services

Programme description

Title: Programme for the promotion of renewable energy, energy efficiency and access to energy services (PERACOD)
Commissioned by: German Federal Ministry for Economic Cooperation and Development (BMZ)
Country: Senegal
Lead executing agency: Ministère de l'Energie et du Développement des Energies Renouvelables
Overall term: 2013 to 2016

Senegal. Energy saving stoves for sale at the roadside. © GIZ

Context

Senegal is a country with very few natural resources. As yet, no significant reserves of natural gas, petroleum or other fossil fuels have been found within its borders. As a result, biomass, mainly firewood and charcoal, is the most important source of energy in the country, making up around 58 per cent of the primary energy supply and 45 per cent of energy consumption. Imported fossil energy resources are the second most significant energy source, with petroleum and crude oil accounting for more than half of these imports. Due to the drastic rise in the price of crude oil over the last few years, Senegal has a vested interest in diversifying its energy sources and making greater use of renewable energy.

Although renewable energies have considerable potential and improvements have been made in energy efficiency, they are contributing less than expected to Senegal's energy supply and falling short of national targets. In rural areas in particular, residents do not have sufficient access to electricity and modern energy services and installations such as solar-powered refrigerators or energy-saving stoves. Weak political, institutional and financial frameworks have been identified as the main obstacle to the realignment of Senegal's energy policy. The country lacks the expertise and resources it needs to ensure sustainable access to energy services, particularly from renewable sources.

Objective

Thanks to improvements made to the relevant frameworks, the population has access to modern energy services and energy efficient products.

Approach

GIZ is advising the key actors, including departments in the Ministry of Energy, the central energy agencies as well as the Forestry Directorate, on how to formulate and implement policies designed to promote renewable energy and energy efficiency and ensure that objectives are met. This will help bring about energy reform in Senegal. A further important aspect of this work is improving the sectoral conditions for investments in renewable energy and energy efficiency with the involvement of the private sector.

With the aim of contributing to an environmentally friendly, reliable and affordable energy supply that meets demand, the programme advises on sectoral policy, works to strengthen stakeholder capacity at national level and provides process support in Senegal's peanut basin and in the Casamance region. GIZ is also supporting the Ministry of Energy in implementing the law regulating the supply of renewable energy to the power grid. This includes developing tendering procedures and defining feed-in tariffs for renewable energies.

Assistance is being provided to the new agency for energy efficiency AEME (Agence pour l'Economie et la Maîtrise de l'Énergie) in developing an action plan that promotes energy efficiency. As part of this process, the agency is being advised on how to formulate and implement legal regulations on the promotion of energy efficiency as well as on corresponding funding mechanisms.

Sample audits are being created at micro-level with the programme's support. Among other things, this involves investigating the productivity of decentralised energy installations in the villages and performing energy efficiency analyses in companies and organisations and making appropriate recommendations.

To extend the reach of energy services, particularly in rural areas, the capacity of the Senegalese Agency for Rural Electrification (Agence sénégalaise d'électrification rurale – ASER) is being strengthened. In addition, rural electrification models are being developed, assessed and distributed. Pilot projects to test productive use are being carried out, including one project in which a solar-powered ice machine has been installed in a women's cooperative in the fishing industry.

To carry out the measures described here, GIZ also draws on funding from the Energising Development programme, a joint initiative of the Netherlands, Germany, Norway, Australia, Great Britain and Switzerland.

At the request of the German Federal Ministry for Economic Cooperation and Development (BMZ), activities in the fields of sustainable forestry and household energy will be completed by March 2015. Both fields are being handled by Consulting ECO as sub-contractors.

Results

Since 2009, the following results have been achieved as a result of development cooperation in the energy sector:

  • The law on renewable energy and two implementing regulations have been passed.
  • In the field of rural electrification, a project supplying solar power to 260 villages and thus roughly 130,000 people, funded by Energising Development, was used to test and practice the steps necessary to establish an ERIL concession (rural electrification on the basis of municipal initiatives) together with all stakeholders.
  • ASER, decentralised administrative structures and several village power concession holders are now able to put this approach into practice largely independently. ASER has acquired further funding to expand ERIL concessions.
  • More than 200,000 improved stoves have been distributed by means of sustainable market mechanisms, mainly in urban areas. In conjunction with the Energising Development project, permanent production capacities have been created for around 40,000 stoves annually that do not require subsidies.
  • Participatory forest management methods have been introduced in an area covering around 30,000 hectares. The result is that individuals, village forestry committees, municipalities and the forest administration now have a sustainable income and the forests, which used to be severely degraded, are protected. The involvement of men and women in forest management was defined by means of participatory processes to ensure that the added value created is distributed fairly.