powering african agriculture -...
TRANSCRIPT
Volunteers for Economic Growth Alliance (VEGA)
POWERING AFRICAN AGRICULTURE
By: Willis Ambusso
Case Study
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This case study documents the success, impact, lessons learned, and recommended next steps for the Powering
African Agriculture (PAA) program conducted in several counties throughout Kenya from 2012 to 2015. PAA is
funded by the United States Agency for International Development (USAID) through an Associate Award to the
Volunteers for Economic Growth Alliance (VEGA). VEGA issued a sub-award to Land O’Lakes to implement the
project as the lead organization with Winrock International as an associate organization. The project’s primary
partner is the Geothermal Development Company (GDC), a government owned company whose primary role is to
explore and develop geothermal resources in Kenya.
BACKGROUND
The direct use (DU) of geothermal energy is a new concept in Kenya and has yet to be exploited. Geothermal
heating is the DU of geothermal energy for heating applications. DU in Kenya is expected to fill a major energy
demand gap in rural communities and reduce their reliance on fossil and other forms of polluting energies. The
current amount of power generated
by geothermal energy is only a small
fraction of the total national power
potential. It is estimated that close to
10,000 MWe1 in geothermal energy is
untapped. To hasten the rate of
development of this clean energy
source, the government of Kenya
formed the Geothermal Development
Company (GDC) to spearhead the
exploration and development of
geothermal energy.
In spite of the large amount of electrical power being produced by geothermal fields, communities living near
geothermal facilities do not benefit from the electricity being produced by geothermal resources. Due to this
disconnect between geothermal energy being produced and not benefitting local communities, USAID and GDC
initiated the PAA program. The goal of PAA is to assist the GDC develop projects where local communities benefit
directly from geothermal energy. DU of geothermal heat can be used only within a few kilometres of the source
and can be used for various activities to improve agriculture and living standards for members of local
communities. In addition, geothermal heat is renewable and clean. In Kenya, most geothermal resources are
located in arid or semi-arid areas with low rainfall and DU offers a reliable source of energy to small holder farmers
who are located in these areas.
Activities under the PAA program were originally designed to support the USAID programs of Feed The Future
(FTF) and the Global Climate Change (GCC) - initiatives whose objectives are to identify, commercialize and bring to
scale innovative energy solutions for cutting-edge agricultural applications in Sub-Saharan Africa so as to improve
food security and reduce poverty. In addition, PAA supported Power Africa, which was officially launched after the
1 MegaWatt of electricity.
GDC engineers inspecting heat exchanger coil
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start of PAA. Power Africa is an initiative to increase the number of people with access to power in sub-Saharan
Africa. Among the activities considered for PAA, geothermal energy was identified as a clean source of energy. In
particular, the potential of geothermal energy in Menengai being developed by GDC for power development was
chosen as a focus. In addition, PAA tied into and supported the GDC objective to promote geothermal DU
applications in Kenya. The project followed two phases. In the first phase, pre-feasibility and feasibility studies
were conducted to determine
opportunities of geothermal DU
application to support agricultural
productivity. During the second phase,
pilot projects will be launched to
demonstrate the viability of using
geothermal energy to power
agricultural and other activities. The
PAA program designed projects that
can be up scaled and replicated in
other areas with geothermal resources
and commercialised to clearly
demonstrate how geothermal energy can
be harnessed and used to support
agriculture.
To assist the GDC with meeting its objectives of promoting and demonstrating geothermal direct use application,
PAA supported the GDC by:
1. Illustrating that DU can be used to improve agricultural food production by using geothermal energy in
aquaculture, greenhouses, and milk processing.
2. Supporting GDC fully adopted DU as part of it energy development program thereby laying a firm
foundation for the future use of DU from geothermal energy in other locations in the country which is
nominally rural and lacks alternative forms of energy.
3. Building the capacity of GDC staff. Staff capacity was developed through a practical hands-on
mentorship program with energy and agriculture experts. Due to the capacity building approach of
PAA, GDC staff are competent in DU technology and are overseeing projects initiated under PAA.
Securing the approval of the county government of Nakuru, which is now considering supporting the program by
providing GDC with the land required to establish an industrial park. The local government organised investor
conferences to popularise and commercialize DU driven industries.
RESULTS
DU Pilot Project Development
The development of pilot projects is part of the core activities identified by GDC to directly benefit communities
living near geothermal facilities. PAA helped GDC set-up two pilot projects demonstrating the direct use of
cascading geothermal energy that will operate a greenhouse for growing high quality horticultural plants and also
run an aquaculture. This facility is anticipated to be fully operational in 2016.
Heat exchange bathtub construction
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PAA assembled and retrofitted a geothermal DU powered Laundromat for GDC near its camp in Menengai. This is
one of four other pilot projects that include a containerized dairy unit, mini-greenhouse and mini-aquaculture
units co-located at the MW03 well pad. These facilities alongside the laundromat will use a heating system from a
common heat exchanger that is currently being assembled on site.
Pre-feasibility Studies
Pre-feasibility studies for aquaculture, greenhouse, dairy pasteurization, and crop drying facilities were conducted
by PAA. These are scalable projects and can be turned in to feasibility studies in the future. In addition PAA,
alongside GDC staff, conducted a pre-feasibility study for establishing an abattoir and meat processing facilities.
The study focused on using DU in several livestock rich geothermal fields in semi-arid and arid lands where
domestic animals form the backbone of the local economy.
Geothermal Mega-Dairy
For geo-mega dairy, PAA developed a pre-feasibility study and a full feasibility report for an eco-dairy
demonstration unit. PAA is assisting GDC find an investor willing to establish a 250,000 litre capacity milk
processing plant at Menengai. Using the PAA dairy consultants as a resource, GDC has enlisted them to help
develop a Geothermal Mega Dairy facility with the Kenyan dairy industry in the Menengai area. It is envisioned
that a 200-litre milk pasteurization and cooling facility will be part of a launch demonstration.
Capacity Building
Improving the technical capacity of the GDC
was an integral component of PAA. There
were two modes of capacity building: 1) Study
tour which included short-term training for
staff at the Geo-Heat Centre in Oregon and 2)
Expert mentoring. The study tour included site
visits to see DU facilities first-hand including
the Oregon Institute of Technology. The
mentoring program entailed pairing experts
with GDC staff during the development of pre-
feasibility and feasibility studies, procurement of geo-thermal equipment, and assessment and design of pilot sites.
Each mode of capacity building was highly rated by GDC staff and served as a foundation for future GDC DU work.
Guide Book
The need for a DU guide book was requested by the GDC six months after the PAA program began. The initial focus
of the guide book changed over time at the request of GDC. Initially, the guide book focused illustrating DU
examples and was for GDC managers and planners. The guide book evolved to identify DU applications appropriate
for different regions in Kenya, to a training tool that the GDC could use in other countries in East Africa, and
ultimately as a reference guide. While the guide book evolved to meet the needs of the GDC, it is a tool that can be
shared with a wider community interested in DU applications.
Mentoring GDC Staff
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IMPACT
While the GDC is the primary partner and beneficiary under PAA, the program impacted other groups who are now
educated and interested in DU applications. These groups include: officials of the governments of Nakuru,
Baringo, and Narok counties, the area Member of Parliament, and local residents. Each group sees the potential
and advantages of DU and looks forward to its development and implementation.
GDC
i. The GDC adopted DU as an
integral part of its power
development strategy and will be
part of all geothermal exploration
activity. The company
management created a
geothermal DU department soon
after its inception headed by a
manager and staffed by a half
dozen engineers, scientists, and
agricultural economists. GDC is
considering upgrading the
department to a division once DU becomes fully operational.
ii. The GDC developed a draft policy to guide its DU activities during exploration, development and
exploitation of geothermal fields. One significant point in this draft policy states that all low
temperature geothermal fields shall be developed into DU projects while all high temperature
geothermal systems shall be developed for both power generation and DU.
iii. The GDC engaged a company based in one of the national Export Processing Zone (EPZ) in Athi
River area east of Nairobi to help it design a similar zone in Nakuru County. This zone will be an
industrial park where it will deliver DU to utilities and also sell electrical power directly at a lower
tariff.
Local Government
i. The local government in Nakuru continues to express interest in supporting the geothermal project
initiated under PAA with an emphasis on DU as source of power for its upcoming activities.
ii. The local government in Baringo identified a piece of land for construction of an abattoir and a
meat processing facility close to Menengai that could use DU.
iii. The local government in Baringo relies on GDC staff to clarify its energy policy and has had GDC
officials accompany their officers on local and overseas investment trips. During these trips, GDC
staff explain to investors the expected lower costs of energy from DU.
Area Member of Parliament and Local Communities
The GDC created a community relations office. The main responsibility of the community relations office is
developing community-based initiatives to mobilize youth living in areas close to the current geothermal sites. In
turn, the youth will have the opportunity to join saving cooperatives that will collectively operate several low-heat
GDC engineer explaining reinforcement used
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DU projects such as aquaculture, greenhouses and fish hatcheries. These youth groups will work with the local
Member of Parliament who has supported these projects in anticipation of the unveiling of DU in Menengai.
PAA SPIN-OFFS
The original PAA concept considered a wide range of renewable energy technologies that could be applied to the
agricultural sector in support of the USAID Feed the Future Programs in Sub Saharan Africa. While PAA eventually
focused on geothermal development activities with GDC, work undertaken at the start of the program led to the
development of other programs now underway for solar refrigeration and water pumping.
SunDanzer Solar Chilling Project USAID PAEGC
As a direct result of PAA activities assessing the potential for applying DU for dairy, the Winrock team noticed the
problem of small holder dairy farmers in Kenya unable to chill milk on the farm due to the lack of electricity. Thus,
farmers were often unable to sell their evening milk production and were often forced to consume it or sell it to
neighbors or hawkers for less than its value. Winrock joined forces with Arizona based SunDanzer, the global
technology leader on solar refrigeration, to develop a practical and economical solar milk chilling system for
Kenyan dairy farmers. The team, led by SunDanzer, successfully won an award from the USAID Powering
Agriculture Energy Grand Challenge (PAEGC) and installed the first 40 pilot units in Mogotio and Ngorika dairy
cooperatives in March 2015.
Smallholder Solar Irrigation Project USAID RELWA
The USAID Renewable Energy Leader with Associates (RELWA) project is led by
Winrock in collaboration with DuPont Kenya and Amiran Kenya and supported by
Chase Bank and Equity Bank. The purpose of RELWA is to advance solar powered
irrigation in Kenya. The project concept was originally formulated with PAA and work
started under a new program in 2014 with the goal to increase the commercial sales
of solar irrigation pumps to smallholder farmers who could significantly increase their
incomes. The project is partnering with Kenyan companies such as SunCulture and
FuturePumps to disseminate wide scale deployment of solar water pumping systems
for smallholder farmer irrigation in rural Kenya.
LESSONS LEARNED
Communications
The PAA project involved no less than five different organizations including two US government
agencies, two US consortia of renown agricultural and energy experts, and the local partner - GDC.
Ensuring that these entities with different specializations worked harmoniously and effectively was a
major challenge of the program and required constant and ongoing communication among all
stakeholders. Further the program was conducted when the primary partner, GDC, was in the early
drilling phase of the Menengai geothermal field, a development phase that takes an average of five (5)
years to complete. Thus the three-year period initially set out for the PAA program, later cut to two and
then extended back to three, has been a relatively short time compared to the long development
Well test
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timeframes required for geothermal energy development. Setting realistic project goals and
communicating those goals with all the stakeholders is important. It is also important to form a working
group or committee that reviews progress being made towards the goal on a regular basis and revise
goals as needed.
PAA evolved over time with the role of the GDC becoming a primary partner more evident in years two
and three of the program. However, while PAA was a partnership between USAID and GDC, GDC was
under the assumption that the implementation of PAA was the responsibility of USAID. GDC was
expecting USAID to direct the program and it would benefit through learning. As a result of this
misunderstanding, most GDC officers were unaware that they had to approve PAA actions and this
contributed to approval delays. At the start of PAA, a kick-off meeting with key stakeholders and
participants would have been useful to clearly define each party’s role.
The initial PAA scope of work included not only geothermal work with the GDC, but was also designed
to expand renewable energy technologies and activities to other African countries. However, the first
year PAA work plan was never formally reviewed or circulated leading to misunderstandings about the
purpose of the program among key stakeholders. During its second year, PAA evolved towards working
exclusively with GDC and the scope of work was refined. While it is natural for a program to evolve
over time, the lack of a clear understanding about the purpose of the program at the beginning lead to
misunderstandings among the program stakeholders and ultimately, led to program delays.
Meeting Partner Requirements
The GDC required specific DU studies that supported their priorities to help impoverished communities.
Due to this requirement, some of the initial field surveys and studies undertaken by PAA covered a
much wider spectrum of potential DU users. Some of these potential DU users could not immediately
use DU unless they were part of a larger industrial park which is not yet established. As a result, pre-
feasibility studies could not be moved forward to feasibility, scaled-up, or implemented. However,
without the pre-feasibility assessments and determining process temperature requirements, it would
not be possible to know which industries were good candidates for DU. Prior to the development of the
project scope, it is important to understand the needs and objectives of each partner to ensure
activities tie into and support the goals of the program and meet the needs of all stakeholders.
Management
At the start of PAA, the Chief of Party was based in Washington, DC. With the project stakeholders
being based in Kenya, having a Washington, DC-based Chief of Party led to a significant loss of time in
communications between stakeholders. Organizing program activities was difficult and as the program
progressed, it was essential to have a locally based Chief of Party who could work directly with the GDC
on a daily basis. After the first year of PAA, a locally-based Chief of Party was appointed and
communications among stakeholders improved.
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NEXT STEPS
In order to continue to support the main goal of using geothermal facilities to provide DU to primarily rural
communities who rely on agriculture for their livelihoods, several next steps are recommended.
Engagement
PAA’s most notable success is the further development of DU by the GDC as part of its geothermal energy
program. DU will have a lasting and effective presence in all geothermal development projects in the future.
Equally important is the supportive roles of the local government and the communities that see DU in a
commercial sense and are forming investment groups to set up aquaculture, greenhouses, and other DU
supported agricultural activities. It is important that local governments and communities continue to be engaged
and educated about geothermal energy to ensure their ongoing engagement and support.
Future DU Project Support at Scale
While there were several capacity building activities implemented for GDC staff, the GDC has not operationalized
DU. GDC’s operational skills are untested since no facilities are working and the pilot sites being planned are not at
the large scale envisioned. In the near future, more important and complicated tasks such as running and
operating an industrial park are yet to come. In addition, GDC recently lost some of its engineering staff and as a
result, does not have an adequate number of trained DU staff. It is therefore crucial that USAID and other
potential donors ensure that the GDC continues to receive adequate support as the GDC operationalizes DU.
Donor support may consist of: trainings, access to PAA partners and consultants to serve as trainers and mentors,
refinement of GDC strategic plan,
and support with investor
engagement.
Tea Processing Feasibility Study
The PAA program was only able
to conduct a rapid, short
assessment of the potential for
DU tea drying. This initial
assessment proved promising.
Since energy costs represent up
to half of the cost of Kenyan tea
production, alternatives such as geothermal
energy for improving the efficiency and reliability
of energy for Kenyan tea factories can have a dramatic competitive advantage. Presently, unsustainably
harvested wood is used to provide process heat for tea for about 70 KTDA tea factories using about 2,500
m3/month of wood per factory, which generates large CO2 emissions and is a major contributor to Kenyan
highlands deforestation. Given the proximity of the main Kericho tea factories to known geothermal fields (70
to120 km), it appears quite feasible according to KTDA to transport the tea to geothermal energy sites. There are
also a number of tea factories located by the Nyanzi rift that may also have direct access to as yet unexplored
geothermal resources. Geothermal tea processing merits a full feasibility study to fully understand the potential
and impacts for applying geothermal DU for tea.
PAA Consultant Bruce Knight with GDC Engineers at the aqua pilot site under construction
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Dr. Willis Ambusso is a highly experienced petroleum, geothermal and renewable energy expert with over twenty
five years of training, teaching and work experience in geothermal and petroleum reservoir engineering, applied
geophysics, numerical modelling, well testing and production. Dr. Ambusso is currently undertaking research on
direct use of geothermal fluids in domestic and industrial settings and is actively involved in application of
computational methods geothermal reservoir modelling and pollutant transport from emissions from geothermal
wells. Dr. Ambusso is Conversant with geothermal and petroleum exploration, reservoir characterization,
resource evaluation, development planning, energy economics and geothermal power plant business planning.
He is a member of the Society of Petroleum Engineers and holds a Ph.D. in physics from Kenyatta University.
The Volunteers for Economic Growth Alliance (VEGA) is the
world’s largest member-directed consortium of nonprofit
economic growth organizations that designs and delivers high
impact programs, incorporating skilled volunteer professionals
into its work with donors, philanthropic institutions, private
enterprise, and developing country organizations. VEGA was
established as a 501(c)3 organization in 2004 through a United States
Agency for International Development’s Leader with Associate Award. When it began a decade ago, VEGA was established
as a rapid and efficient mechanism that utilized a competitive process to award USAID funding to its member organizations.
Now, VEGA continues to champion its model and its alliance members’ breadth of expertise to other partners.
VEGA supported the research and publication of this case study as part of its commitment to knowledge management and
sharing lessons learned among its member organizations and the international development community.
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Since 1981, Land O’Lakes International Development has applied an integrated approach to international economic development that capitalizes on our company’s 93 years as a leading farm-to-market agribusiness. We use our practical experience and in-depth knowledge to facilitate market-driven business solutions that generate economic growth, improve health and nutrition, and alleviate poverty. We believe in the value of people and ensuring our work is rooted in honesty, integrity and respect. Our vision is to be a global leader in transforming lives by engaging in agriculture and enterprise partnerships that replace poverty with prosperity, and dependency with self-reliance. Funded primarily by the United States Agency for International Development (USAID) and United States Department of Agriculture (USDA), our programs not only improve production and food security for smaller farming operations, but they foster innovation, market linkages, and strengthen the private sector. Core to this effort is helping farmers move from subsistence to farming as a business, and working to make small and growing enterprises more attractive for investment. To date, our efforts have improved the quality of life for millions of people in 80 nations through more than 280 projects and training initiatives.
Winrock International is a nonprofit organization that works with people in the United States and around the world to empower the disadvantaged, increase economic opportunity, and sustain natural resources. By linking local individuals and communities to new ideas and technology, we seek to increase long-term productivity, equity, and responsible resource management to benefit the poor and disadvantaged. A registered 501(c)(3) nonprofit organization, Winrock was formed in 1985 with an endowment from the Rockefeller family through the merger of three non-profit organizations: the Agricultural Development Council, which played a critical role in education and development for institutions in Asia; the Winrock International Livestock Research and Training Center, which conducted research and technical training in animal science; and the International Agricultural Development Service, which provided technical assistance in agricultural production and rural development. Today, Winrock has over 950 staff around the world and is delivering solutions in agriculture, clean water and energy, forestry and natural resource management, leadership development and capacity building to achieve sustainable and equitable development.
The case study is made possible by the generous support of the American people through the United States Agency for International Development (USAID). The contents are the responsibility of VEGA and do not necessarily reflect the views of USAID or the United
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