fk presentation - md. sayeed ur rahim mahadi

36
Prepared by Md. Sayeed Ur Rahim Mahadi Exchanged to People Energy & Environment Development Association (PEEDA)-Nepal Date: 19 th May, 2015 Welcome to Experience Sharing Workshop On Promotion of appropriate green technologies for rural prosperity

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Page 1: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Prepared by

Md. Sayeed Ur Rahim Mahadi

Exchanged to People Energy & Environment Development Association (PEEDA)-NepalDate: 19th May, 2015

Welcome to Experience Sharing Workshop

On

Promotion of appropriate green technologies

for rural prosperity

Page 2: FK Presentation - Md. Sayeed Ur Rahim Mahadi

• Getting exposure on various Renewable Energy technologies and

services models in Nepal

• Study best practiced approaches and technologies in Nepal

• Exposure on PEEDA and its partners’ projects

• Review and develop the business/promotion models of the renewable

energy technologies to address climate change and poverty reduction

suitable for Bangladesh context

• Packaging of renewable energy technologies for piloting and scale-up

• Social cultural dimension of energy services models

Learning Objectives

Page 3: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Learning Methodology

The main process was on the Job Training for 11.5 Months with

People, Energy & Environment Development Association (PEEDA):

• Desk Review/Online Material Review;

• Group Works & Discussion/meeting with Colleagues;

• Field Visit & Discussion with Villagers/Community people;

• Meeting with Professionals

• Attending workshops, training sessions and conferences

Page 4: FK Presentation - Md. Sayeed Ur Rahim Mahadi

About Nepal

Capital Kathmandu

Region South Asia

Total Area (km²) 147,180

Population 27,797,457 (2013)

Rural Population (% of total

population)

82 (2013)

GDP Per Capita (current US$) 694.10 (2013)

Access to Electricity (% of population) 76.30 (2014)

Energy Imports Net (% of energy use) 13.02 (2011)

Fossil Fuel Energy Consumption (% of

total)

12.54 (2011)

Source: World Bank

Page 5: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Some Facts about Nepal

Total Hydro Potential 83,000MW

Economically feasible hydropower potential 40,000 MW

Rivers more than 6000

Total electricity generation capacity around 700MW

Load-shedding 10-12 hours per day

Mini-hydro plants 40 (generating 14.95 MW)

Micro hydro plants 1000 (generating 18.86 MW)

Pico/peltric Plants 1,480 (generating 3.18 MW)

Improved Water Mills 8000 (Approx.)

households biogas plants (fixed dome GGC 2047) 300,000 households (Approx.)

Institutional biogas plants 200 (Approx.)

community biogas plants 60 (Approx.)

Pre-qualified Biogas companies 113 (Approx.)

Improved cooking stoves (ICSs) developed in Nepal efficiency of 18% to 28%

ICS installed 0.7 million

Pre-qualified ICS companies 32

Listed Manufacturers of solar heaters 30 (Approx.)

Pre-qualified companies for solar system 43

Page 6: FK Presentation - Md. Sayeed Ur Rahim Mahadi

About my Host Organization

People, Energy & Environment Development Association (PEEDA)

was established in 1997 jointly by various hydropower related

organizations for the enhancement of the renewable energy sector

in Nepal.

PEEDA aims to mobilize both local and external resources to harness

Nepal’s indigenous resources, thereby promoting activities for

economic development and poverty alleviation.

Partners: United Mission to Nepal

Bread for the World (BfdW), Germany

Tarayana Foundation, Bhutan

Technology and Action for Rural Advancement (TARA), India

Practical Actions, Bangladesh

Alternative Energy Promotion Center (AEPC), Lalitpur

Oshin Power Services (OPS), Butwal

Kathmandu Alternative Power Group (KAPEG), Kathmandu

Page 7: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Hydropower Sector in Nepal

Technical

Social

Financial

Regulatory

Political

Etc. Etc.

Page 8: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Pro-Poor Hydropower:

PPHP is a concept by which the poor of Nepal are

facilitated into the profitable ownership of their

water resources.

Development of commercially profitable

hydropower projects with the local poor gaining

significant ownership of the projects.

Significant means :- sizeable earning when

compared to other earning streams

Page 9: FK Presentation - Md. Sayeed Ur Rahim Mahadi

How Poor Invest in Hydropower?

Too high initial investment for poor people

In all projects there is a local labour component (10-20% of total cost)

The poor can invest their labour

The poor will be offered a levering grant to

increase their share

Page 10: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Pro-Poor Hydropower (PPHP)

approach

Page 11: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Pro-Poor Hydropower (PPHP) approach

Page 12: FK Presentation - Md. Sayeed Ur Rahim Mahadi

PPHP Pure Approach

Page 13: FK Presentation - Md. Sayeed Ur Rahim Mahadi

PPHP Dilute Approach

5P (Pro-Poor Public-Private Partnerships)

Page 14: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Pro-Poor Hydropower Concept

Loan facility to purchase 1-2 shares

or debentures

Salary received by the local poor

Salary sacrifice of the value of 1 share

Matching grant of 1 share

Normal

daily

wage

Page 15: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Pro-Poor Hydropower in Relation

to Poverty

Economic empowermentOpportunity

Security

Poor given choice to

invest in hydropower

company

Earn regular stream of income

from hydropower company

dividends

Make other

investments

Combat economic &

social vulnerabilities

Earn further income

PPHP

starts

here!!!

Page 16: FK Presentation - Md. Sayeed Ur Rahim Mahadi

The Result-based financing mechanism

(RBF)

Objective: Establih a long-term sustainable market for energy

services and products targeting poor and off-grid households

Strengthen involvement of private sector

Get away from subsidies

Private companies take up initiative for developing hoodstove

market and they get money paid for their results

“RBFmoney” is an award for their upfront investment and risk

taking

Page 17: FK Presentation - Md. Sayeed Ur Rahim Mahadi

RBF Incentive Flow-Model

h

Option: MixPractical Action

NGO

Independent consultant

Auditing firm

Cooperatives

Association 100+ Hood-stove

entrepreneur

Financial Institution

Households

Provide

Loans

Working

Capital Loan

Hood-stove

Companies

RBF Fund

Village

cooperatives

For each

loan issued

For each hood-

stove installed

RsRBF

RsRBF

Page 18: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Use of RBF Incentives

Note: The incentives will be reduced gradually every year so there will be

no significant change in price or profit after project also.

RBF Incentives

Entrepreneurs

Sales incentives

Discount to users

Marketing cost

Cooperatives

Management, documentation reporting

and marketing cost

Creation of credit lines

Soft loan to borrowers

Page 19: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Renewable Energy Subsidy Policy in Nepal

Rural Energy Policy (2006)(to promote clean, reliable

and appropriate energy sources as a means to reduce

rural poverty and protect the environment)

Subsidy Policy for Renewable Energy (February 2013)

Renewable Energy Subsidy Delivery Mechanism (June

2013)

Page 20: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Subsidy Type and Level

While designing the subsidy rate, the basis of around 40% of the

total cost will be covered by subsidy, around 40% by the soft loan

from the financial institutions, and rest minimum of 20% by the

community or households in kind and cash.

AEPC has published a list indicating the category of each VDCs.

Category Type of VDCs

Category “A” Village

Development Committees,

very remote VDCs

Category “B” Village Development

Committees,

remote VDCs

Category “C” Village

Development Committees,

accessible VDCs

Page 21: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Subsidies for Renewable Energy

Technologies

Solar System

Solar Water System

Solar Dryer

Solar Cooker

Biogas Plant

Improved Cooking Stove

Gasifier System

Improved Water Mill

Productive Energy Use

Wind Energy

Small and Micro Hydropower

Rehabilitation of Damaged Projects (only for hydro)

Provides subsidy up to 50% of the total cost in various renewable energy

projects

Extra amount per household (single woman, backward, disaster victim,

conflict affected, poor and endangered ethnic group as identified by the

Government of Nepal.

Page 22: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Subsidy delivery mechanism for

Solar Home System

Renewable Energy

Test Station

Nepal Photovoltaic

Quality Standard

punish and penalize

By AEPC (centre)

Council of Technical

Education and

Vocational Training

solar electric technician level I

and II

private companies and

their networks

import, manufacturing,

distribution and providing the

after sale service

Page 23: FK Presentation - Md. Sayeed Ur Rahim Mahadi

• Participated in Participatory Market System Development Training

from 20 to 22th August which is organized by Alternative Energy

Promotion Centre (AEPC) and Practical Action Nepal.

Applying PMSD approach in Energizing Sustainable Rural Livelihood

(ESRL) project to ensure proper use of electricity from the micro hydro

plant.

Participatory Market System Development (PMSD)

Page 24: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Nepal:

Pico Hydro = < 10 kW capacity

Micro Hydro = 10 kW to 100 kW

Mini Hydro = 100 kW to 1000 kW

Large Hydro = > 1000 kW or 1 MW

[Ref: AEPC]

Bangladesh:

Pico Hydro = < 5 kW capacity

Micro Hydro = 5kw to 300 kW

Mini Hydro = 300kW to 3MW

Small Hydro = 3MW to 10MW

Large Hydro = > 10MW

[Ref : LGED]

Classification of Hydro:

Page 25: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Pico Hydro Promotion Project

Head vs. flow rate diagram for turbine selection

Page 26: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Pico Hydro Technologies of PEEDA

Page 27: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Low-Head Pico Hydro:

Headway Canal

Conical Draft Tube

PowerhouseGenerator

Volute Casing

Inlet from Headway

Canal

Propeller (inside case)

Page 28: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Propeller type technology

• 74% mechanical efficiency , allowing for an overall efficiency of 54%.

• Generator type- Induction type, synchronous type

Page 29: FK Presentation - Md. Sayeed Ur Rahim Mahadi

PT1 (Propeller Turbine) demonstration pico hydro site

1KW PT1 (Propeller Turbine) demonstration pico hydro site implemented by

PEEDA in collaboration with Oshin Power Service Private Limited, Butwal.

Trial sites have shown that this technology can provide lighting (using efficient LED bulbs) for up to 40 households at an affordable price.

Technology cost : 2,200 USD

Civil construction cost: 1,000 USD

Page 30: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Nuwakot 1 KW pico project

Pre-feasibility study consists of a number of stages:

1. Technological appraisal

2. Flow and head measurement

3. Environmental Impact assessment

4. Geological survey

5. Socio-economic survey

Page 31: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Oshin Power Service Pvt. Ltd.

It is very easy to manufacture hydro technologies in a simple

workshop.

Page 32: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Implementation phases

Community mobilization

Site Surveying

Pico Hydro Designs

Powerhouse Construction

Distribution System

Domestic Wiring

Testing, Commissioning and Operation

Page 33: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Nuwakot 1 KW pico project

Page 34: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Weather of Nepal is unpredictable

Probability of Landslide

Projects are in very remote areas

Difficult to communicate with the community people

(Language barrier, No Mobile Network)

Political problems

Technology transfer

Challenges

Page 35: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Opportunities for Bangladesh

Though Bangladesh has less potential in hydro sector, but still

Bangladesh can implement hydro technologies in feasible sites

to generate electricity.

Opportunities for IWM (Improved water mill)

Pro-poor approach can be implemented in renewable energy

projects which will generate income for poor people.

We can form an institution like Council of Technical Education

and Vocational Training which will certify the solar technicians

for ensuring the proper installation of our solar systems.

A proper subsidy system can be introduced for off-grid area

people to ensure their energy access.

Performance based project can be introduced to develop the

market system.

Page 36: FK Presentation - Md. Sayeed Ur Rahim Mahadi

Thank You All

Email: [email protected]