Davidson Mehlwana

Rural Energy Policy in Africa:Past and Future Directions: 

Rural Energy Policy in Africa: Past and Future Directions Prof. Ogunlade Davidson Dean Faculty of Engineering, University of Sierra Leone Presented by Monga Mehlwana CSIR, South Africa

Outline of Presentation: 

Outline of Presentation Africa in the global energy context Energy situation in Africa Rural energy system Past policies Outcomes of past Policies Future directions for rural energy policies Conclusions

Slide3: 

Household Income and Electricity access 0 1000 2000 3000 4000 0 25 50 75 100 Zimbabwe Cote d’Ivoire Zambia Thailand Costa Rica Malaysia South Africa Tanzania GNP/Capita 1998 $ Household access to electricity Mexico China Sri Lanka Indonesia Uganda Morocco Philippines Pakistan India Ghana Bangladesh Tunisia Nigeria

Electricity Situation of Africa : 

Electricity Situation of Africa Africa is the least consumer among developing countries Africa needs to increase its overall net productivity significantly if they should compete with other developing countries Africa needs substantial energy supply as incremental growth will do very little to for the continent

Energy Situation in Africa: 

Energy Situation in Africa Rich in renewable and non-renewable energy resources, but least consumer of modern energy globally Large quantities yet to be exploited Energy infrastructure very weak and poor integrated networks Two –thirds of modern energy produced is exported Very high level of suppressed demand for modern energy services African rural system significant and unique Energy investments very low and geared to exports Primary Energy Use, 1995

Rural Africa vary by region : 

Rural Africa vary by region Over 500 million people live in African rural areas The only region that number of rural people are growing Energy system is very primitive Weak cash economy Scattered, bumpy and poor Motor-able and rich

African Rural Energy System: 

African Rural Energy System Heavy Dependency on Traditional Biomass and Human Energy Little use and/or Access to Modern Energy Forms Decentralized and Dispersed Energy Requirement Lack of Basic Energy Infrastructure

Existing Conditions in Rural Areas: 

Existing Conditions in Rural Areas Energy Utilities lack of capital and no access Poor financial management Weak operational performance Private sector base Lack of credibility to financial institutions Poor training Low investments and poor enabling environment Low purchasing power Weak energy infrastructure and policy and economic constraints to move to more modern fuels

Selected Energy Data for Africa Countries: 

Selected Energy Data for Africa Countries

IMPACTS OF CURRENT ENERGY POLICIES AND PRACTISES: 

IMPACTS OF CURRENT ENERGY POLICIES AND PRACTISES Environmental Impacts Deforestation, Soil Erosion, Pressure on Ecosystems, Desertification, etc. Intensify Pressure on Natural Resources Indoor Air Pollution and Related Health Problems Acceleration of Land Cover Changes and Loss of Biodiversity Social Impacts Expansion/Increase Of Rural Poverty Increase Of Social Disparities Exclusion Of The Poor From The Emerging Energy Transition The Poor Pays More Than Others For Same Energy Services Rural To Urban Migration

Slide11: 

To Develop Sustainably African Vast Energy Resources for Increased Productivity, Wealth Creation and Improved Quality of Life for Africans NEPAD

Slide12: 

Think Big Act Fast: Rural Transformation 1. Objective: Facilitate Integration of Energy within Rural Integrated Development Planning Context and stimulating the productive sector in rural areas HOW: Develop integrated Resource Plans Aimed at improving the incomes of Rural Areas Facilitate scale- up of mechanisation and expansion of agricultural system Assist in setting an energy system that ensures increased value added in rural products

Natural Gas in Africa: Untapped Resource: 

Natural Gas in Africa: Untapped Resource Africa has major opportunities for growth in the energy sector Natural gas development is one of such opportunity

Suggested Rural Energy Strategy : 

Suggested Rural Energy Strategy Re-visit integration of grid & off-grid electrification in rural areas Grid electrification planning should involve communities to allow for success. Monitoring of service provision should be locally-driven Strengthen links between local community structures and government development projects. Development projects should start with community involvement even from the design stage. Limitations of energy service provision should be clearly communicated from the start. Energy solutions should be adapted to suit local basic needs as expressed by the people. Energy solutions should support job creation/ income generation to improve livelihood.

Elements of New Policies: 

Elements of New Policies Better use of Kerosene and LPG Decentralised Electricity Systems Centralised Electricity Improved use biomass systems Part of African Energy Information system Education facilities for all Decentralised decision-making Mechanisms for micro-financing and entrepreneurship

Energy Institutional Development : 

Energy Institutional Development Development of “One-stop shop Customer services Provision of energy services Telephone Kerosene Electricity Water Energy Store in Kwazulu Natal South Africa

Slide17: 

African Rural Enterprise Development (AREED) Enterprise Centered Model Start-up Financing Enterprise Development Services Energy Services

Slide18: 

LPG Distribution Ghana Multifunctional Platform Mali Charcoal from Sawdust Zambia Wind Powered Water Pump Senegal AREED CONCEPT SME Energy Development -Local Partnership Capacity building -Financial Institution linkage -Policy linkage

Slide19: 

RENEWABLE ENERGY DEVELOPMENT Household Solar System School Solar system Solar Dish Modern Wind System

CONCLUSIONS: 

CONCLUSIONS Energy in Rural Africa is complex: need for combination of approaches Diversification of driving forces: Thematic Geographical Financial Review overall energy policies Demand-driven approach/Supply-driven Approach Revisiting Renewable Energy Diffusion Strategies More Social And Institutional Innovation Development Of Information Technology And Networking