women’s entrepreneurship in renewable energy sector ... 5 - soma dutta.pdf · solid fuels, less...

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Women’s Entrepreneurship in Renewable Energy sector: Empowering Women and

meeting the Energy Access Gap

Soma Dutta, 24 February 2017

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ENERGIA: International Network on Gender and Sustainable Energy

• International network set up in 1996

• Creating an institutional base for mainstreaming gender into the energy sector in developing countries

• Members in 22 countries

• Ongoing programmes in 12 countries in Africa and Asia

•Hosted by Hivos Foundation, an NGO based in the Netherlands

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Changing gender narrative in energy policy • For the first time cooking set on equal footing as electricity, as part

of SDG 7 • SDG 7 on energy recognised as an enabler to SDG 5 on gender

equality and women’s empowerment • SEforALL business plan moved from positioning women as

victim/beneficiary to leader and change agents in the energy transition and committed to establishing an establishing a “gender and energy accelerator”

• “ECOWAS Policy for Gender Mainstreaming in Energy Access”, 15 countries have committed address existing gender barriers in expanding energy access in West Africa

• Gender strategy required for climate investment funds • Utilities implementing gender diversity polices for boards

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Reality:

• In spite of impressive growth, progress so far on energy access not enough to reach the of universal access to energy by 2030

• Access to clean cooking lagging behind access to electricity

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ENERGIA’s Women’s Economic Empowerment (WE) Programme

Scales up proven business models to strengthen capacity of women led MSEs to deliver energy services and energy services to women led MSEs

Provides funding and technical support to partner organisations in Africa and Asia;

Between 2012-2017;

In collaboration with NGOs and Social Enterprises;

Nepal, Indonesia, Sri Lanka, Bhutan, Kenya, Tanzania, Senegal, Uganda, Nigeria,

4,000 women led MSEs will deliver energy products and services to 2,000,000 consumers

Presenter

Presentation Notes

Started in 2012 with an ADB project. 2014, we launched our own programme, starting with a CFP, and selection of partners. In selection, looking for proven business models and potential for scale up (approx 3-400 entrs, and 500,000 reach..

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Women: From energy users to energy entrepreneurs

Addressing challenges of

universal energy access

2.85 billion people rely on solid fuels, less than one-third use ICSs: both adoption and use When women sell ICS to other women, users report consistent and correct usage

1.1 billion without electricity: largely concentrated in rural sub-Saharan Africa and S. Asia Women and their networks are well positioned to reach poor, difficult to reach markets

Women’s empowerment and poverty reduction

Women are world’s third-largest “emerging market” after China and India & the majority of business in informal sector Women reinvest 90 %of their income in their families and communities, (men reinvest 30 to 40 %)

Business case for strengthening women’s role in energy enterprises

Presenter

Presentation Notes

What is the rationale for doing this. Believe that can help accomplish two developmental goals: UEAccess, pov reduction and w’s empowt. For UE Access, w. through their networks can reach remote, poor communities. They are trusted sellers, and research shows that when W sell, the adoption and use of ener techs is better. They also provide a ready springboard/ vehicle for selling energy services, through as they are already in the informal sectors in large numbers. In South Asia, over 80 per cent of women in non-agricultural jobs are in informal employment, in sub-Saharan Africa, 74 per cent, and in Latin America and the Caribbean, 54 per cent (UN Women, Progress of the World’s Women 2015-2016. Chapter 2, p. 71.) Women reinvest in social goods. When a woman is given an opportunity to earn an income, it helps in many other areas of her life. Studies show that women reinvest 90 percent of their income in their families and communities, while men reinvest only 30 to 40 percent; thus the implications for economically empowering women can reach far beyond the individual (Borges, 2007). Women are also more likely than men to invest a large proportion of their household income in the education of their children, including that of girls (Lewis, 2013; IMF, 2013). According to the ILO, women’s work, both paid and unpaid, may be the single most important poverty-reducing factor in developing economies. (IMF 2013, Borges 2007)

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The WE approach Challenges

• Scale of operations/growth • Access to finance • Competition and unreliable

supply chains • Limited links to markets • Limited agency and confidence • Time poverty and mobility • Awareness/information • A ‘Silo’ approach to energy

access

WE Strategies • Recruit-train-mentor • Finance facilitation

(loan guarantee funds, microcredit) • Multi-faceted capacity building

(business, technical, leadership, agency) • Support in market identification

and promotion • Supply chain management and

quality assurance • Partnerships and networks

An integrated enterprise support package addressing specific bottlenecks to growth

Presenter

Presentation Notes

However, we are continuously reminded of the large number of challenges that come with operating in such areas. Most of the challenges listed in the LHS are also faced by men, but pronounced much more for women. And this has been our starting point, Through market assessment and baseline surveys, and as we go along, we encounter these, and the WE strategy is essentially an integrated support mechanism to address each of these. Take access to finance for example, it is tough nut to crack fro any entrepreneur, but for women, its doubly hard as they don’t have land, most have defaulted on loans, MF is too expensive, they are unfamiliar and afraid of bank procedures. Etc etc. Also, in the case of women, time poverty is a big challenge, with 16-18 hour workday, any business development has to be built around the fact that in all likelihood, the women are not likely to be relieved from their household chores. The WE approach is built around six pillars that directly address these challenges. R-T_M is almost our mantra, and is complemented by a host of other inputs.

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Strengthening women’s economic development in energy value chains

Employment & Entrepreneurship

Support women as own bosses

Lever existing networks &

practices

Focus on sectors / value chains where

women dominate

Supply Chains & Financing

Design financing

mechanisms with a gender

focus

Analyze market with WEE

opportunities in mind

Build an inclusive value

chain

Capacity & Skills

Prioritize women in technical training

Train women for

management & leadership

Support business

development

Communication, Information &

Monitoring Engage all

stakeholders and use

participatory methods

Document the evidence base

Involve women in analysis,

monitoring & evaluation

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Strategies at work : Sustained mentoring

support to entrepreneurs, Kopernik, Indonesia

Participants grow empowered, enjoy improved lives, and have a positive influence in their communities

Run a technology sales business that brings benefits to households and community

Training on technology, financial literacy, marketing, and leadership to start their journey using technology sales as a tool

Recruitment to Wonder Women program

With continuous support and mentoring, skilled and confident participants expand their business. High performers achieve Gold Star* status

Post-training test Routine communication & monthly monitoring

Baseline surveys Follow-up surveys

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Visible empowerment at three levels

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Energy solutions for last-mile, poor communities

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WE Programme Results (December 2016)

• Women led MSEs set up and run sustainable energy businesses

Women led energy businesses

• Women in existing businesses gain from improved energy services

Productive uses of energy • Poor populations gain

access to clean energy products and services

• When women are economically empowered, their households and communities benefit

Multiplier effects

3945 7000 300,000 1.5m

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• Existing data indicates that although woman are underrepresented in the energy sector workforce, renewable energy is showing better than the sector average for women’s employment (IRENA, 2016).

• Women represent an average 35% of the workforce, significant finding, considering women only account for 20 - 25% of the workforce in the overall energy industry (Stevens et al., 2009).

• Yet the percentage remains lower than women’s

economy-wide share in employment, which is 40 - 50% for most OECD countries (World Bank, 2016).

Women’s employment in RE sector

Presenter

Presentation Notes

In a global survey conducted by the International Renewable Energy Agency (IRENA), covering more than 40 countries involving nearly 90 companies representing the entire value chain of the sector (including, manufacturing, installation, operations and maintenance, consulting and policy making) the responses show that women represent an average 35% of the workforce (IRENA, 2016). This is a significant finding, considering women only account for 20 - 25% of the workforce in the overall energy industry. (Stevens et al., 2009). This may reflect greater interest among women in sustainability related fields. Yet the percentage remains lower than women’s economy-wide share in employment, which is 40 - 50% for most OECD countries (World Bank, 2016).

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Persistent Gaps : Cooking still left behind

Presenter

Presentation Notes

Progress toward SDG 7 on universal access to modern energy services is inequitable: while the electricity target is largely on track, the cooking energy target has fallen behind. Electrification is staying ahead of population growth, unlike with cooking. Women continue to carry the worst burdens of this e energy access gap. More than 4.3 million deaths every year, mostly among women and children, are linked to fumes from fuels such as wood, animal waste, and charcoal, which are used for cooking and heating. However, the gender energy gap that is related to women’s roles and responsibilities in cooking continues to increase. The latest reports on Sustainable Development Goal 7, which calls for universal access to modern energy services, shows that while progress to reach the electricity target is largely on track, the population lacking access to clean cooking energy is increasing, as it is lagging behind population growth.

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Small proportion of ODA to the energy sector

Presenter

Presentation Notes

OECD DAC NETWORK ON GENDER EQUALITY (GENDERNET) • JUNE 2016 noted that Only a very small proportion of ODA to the sectors of energy and transport/storage targets gender equality (9% and 11% respectively) -

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National energy policy include vague gender objectives

• Gender in energy policy are often formulated as either vague objectives that are difficult to measure or narrow, practical and welfare-oriented objectives, rather than directly promoting women’s rights or empowerment, and are not integrated into a comprehensive gender framework (Karekezi and Wangeci, 2005).

• Gender machinery limited engagement in energy sector (ENERGIA, 2016)

• Interventions have focused away from capacity (ENERGIA, 2016)

• development of energy decision makers & practitioners • Women association and parliamentarians not targeted as

policy makers (ENERGIA, 2016)

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Women concentrated in lowest-paid positions

Both the fossil fuel-based and RE global workforce represents a vertically and horizontally gender-stratified labor market, with women concentrated in the lowest-paid positions, closest to the most menial and tedious aspects, and furthest from the creative design of technology and the authority of management or policymaking (Baruah, 2015).

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Scale up we and GM programmes

Engage with climate finance

instruments

Build capacity of energy and

gender practitioners

Build emeprical

evidence to shape policy

agenda

Incrase ODA to gender equality

Enabling policies

environment

Going to scale: Action Areas

Presenter

Presentation Notes

Scale up WE centric business models. Build capacities of local organizations to roll out WE programmes –ILO Women’s entrepreneurship development programme Expand Women’s Access to Finance. Developing financing instruments and mechanisms to women, including microfinance and mobile banking, developing specific loan products for women Developing enabling policies through national women’s machineries: ECOWAS gender and energy policy, Nepal policy on smokefree Nepal Reform the Business Environment for women. tax administration, and regulations especially for smaller, informal sector firms Building the capacity of women’s associations and parliamentarians to contribute to advocacy for policy reforms Engage with climate finance instruments for resource allocation to WE initiatives

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Thank you

women’s entrepreneurship in renewable energy sector ... 5 - soma dutta.pdf · solid fuels, less...

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