Rural electrification. Hydro electricity  N/A



Study on electricity decentralized production from small hydro power plants through private sector and local co-operatives participation

Country : Ethiopia. .
Client : N/A
Start Date : March 2002
Completion Date : June 2002
Value of services : 53 800€
Funder : World Bank . EEA (Ethiopian Energy Agency)
Associate/Partner : N/A
Description :
The Government of Ethiopia with support from the World Bank is preparing an Energy Access Project (EAP). The project’s development objectives are to: (a) establish a sustainable program for increased access of the population to electricity, thus supporting broad-based economic development and helping to alleviate poverty; (b) improve the quality and adequacy of electricity supply to existing customers; (c) promote the rationalization of the structure and function of the biomass energy sector and thus reduce environmental degradation and improve end-use efficiency; and (d) develop sustainable rural energy in association with health, agriculture, education and water sectors and SMEs. The project aims to accelerate electricity access via commercially oriented rural electrification – improving efficiencies and cost recovery, employing lower-cost options and “smart” subsidies as well as small-scale renewable energy development. The project has been broken down into six components: (i) Policy and institutional support; (ii) Urban system rehabilitation; (iii) Load dispatch centre; (iv) Grid-based/off-grid rural electrification; (v) Renewable energy promotion; and (vi) Biomass.
The proposed project would aim to expand electrification via grid extension and isolated mini-grid investments (diesel, micro-hydro, PV or combination of any mode).
Description of the Actual Services Provided The overall assignment objectives were to:
* help define micro-hydro projects, including a viable business model, via commercially operated off-grid ( as defined by law ), likely means of generation and distribution, and to disseminate relevant information and knowledge to potential private investors and other stakeholders.
* identify an efficient, effective model of participation, consultation, so that (a) the final beneficiaries accept the 'commercial' approach, and have a strong psychological 'ownership' of the concept, and (b) appropriate and sufficient monitoring and evaluation ( M&E ) is conducted on a routine, low-cost basis, problems get identified and rectified soon enough, and the benefits of a commercial approach to electricity access are better understood.
* review the feasibility level study conducted by Northwest Investigation, Design and Research Institute, China, for Keto in Oromia and conduct additional work, if necessary, to provide, based on expected revenues and estimated costs of construction, operations and maintenance, an assessment of the business viability of the electrification scheme, and of the willingness of the residents to accept commercially run private electricity distribution scheme.