DATABASE

Case study

Energising Development (EnDev) Peru

ongoing



Link
endev.info


Abstract

The project, started in 2007, aims at providing access to modern and safe energy for cooking and improving access to electricity in rural areas. Instruments: modern stoves, pico solar generators, lighting facilities, increased efficiency. The project is co-financed by a group of European and Australian entities (agencies, governmental departments)


Project Description

Energy Situation Peru has a relatively high rate of electrification of around 80% at national level. In rural areas, however, only about 60% of the population live in electrified areas; over 4 million people have no access to electricity. Biomass is the predominant source of energy used for cooking in rural areas. The majority of rural Peruvian homes use firewood for cooking, generally in traditional three-stone hearths. Due to the cold and windy climate of the Andes, women generally cook in rooms with small windows and hardly any ventilation. Approach EnDev Peru promotes access to energy for lighting in rural and semi-rural areas in different forms. On the one hand, EnDev facilitates electrical connections, making now that the beneficiaries themselves finance their facilities and the monthly electricity costs. EnDev also promotes the market for solar home systems and picoPV products. EnDev Peru promotes access to improved, low emission cookstoves. EnDev offers technical assistance to governments, private companies and non-government organizations. EnDev works along the value chain with suppliers, technicians and stove installers. Stoves must be used and maintained well. EnDev Peru also supports access to solar water heaters. EnDev offers technical assistance to governments and private companies working on solar heaters and solar dryers. It also facilitates coordination and follow- up on the micro-financing strategy of solar water heaters with microfinance institutions. Finally, EnDev Peru promotes access to energy for productive uses. Here, EnDev facilitates access to collective usage technologies for small farmers from producers' associations. En Dev offers technical assistance in order to advise on the improved technology, on the existing suppliers and on the economic benefits for their productive activities.


BENEFICIARIES

Beneficiaries of the projects belong to different social groups. Main beneficiaries are people living in rural areas (energy efficient stoves + solar energy + electrical connections). At the same time farmers, small business, and users of public buildings and social infrastructures such as schools (upgraded technical equipment and improved efficiency).


Results

ENERGY TO ILLUMINATE (186,000 people served) Economic saving: the average monthly expense in batteries, oil or candles more than halved as from having an electric connections or Pico PV. Improvement in life quality and conditions: since they have had reliable lightning, families have increased nocturnal activities: doing homework with the children and in housework tasks. The technology is more reliable and less risky. Likewise, the sensation of safety in the streets has increased. Decrease of indoor pollution: families are no longer exposed to smoke and soot from candles and oil lamp wicks, thanks to the shift to electric connections and PV Peaks. ENERGY FOR COOKING (647,000 improved cookstoves) Economic saving: improving cookstoves has led, on average, to an at least halved expenditure in stoves maintenance. Decrease of emissions inside the room: families perceive a reduction in coughs and bronchial infections and in eye infections. Reduction in deforestation: average wood consumption in improved cookstoves is 50% less than in traditional stoves. ENERGY FOR PRODUCTIVE USES (5,100 productive units directly targeted) Income generation and economic saving: decreased production costs, improved products quality, higher income and process reliability. Moreover 2,800 new technological installations have targeted social infrastructures.


Business Model

The project is designed to be economically sustainable in the long term. The results achieved so far exceed those forecast during the assessment phase. Thanks to the provision of micro-financing products and know-how related to the newly installed technologies, the improvements can be sustainably seized over a long period of time.. The resources freed up thanks to the initial aids can enter the economy through other channels and contribute to further development. . From the social perspective, the resources freed-up thanks to the improved cooking facilities and energy access conditions have had an impact on the role of women, children education, and safety.


Lessons Learnt

Living conditions of large shares of rural population can be improved with easily implementable measures. Installing modern cooking facilities has proved a key point in improving home life of women and children, as it decreased the rate of illness due to respiratory issues. At the same time, the time devoted to other activities could be expanded. Small business learnt that relying on more advanced machineries reduces the costs of production while delivering better quality products.


Key Feature

The project can be and has already been scaled up, as the initial objectives had been met some years ago and now the project is in its phase two. Similarly, the project can be easily replicated where similar initial conditions exist. Specifically, all rural areas still relying on traditional cooking methods (biomass) and not having access to electricity can be easily brought to a better standard. Prior to its launch, the project has passed an assessment after households, social infrastructures or small and medium-sized enterprises. Monitoring is carried out every 6 months to check for sustainability.


Other significant information

The project has been carried out by the German Technical Cooperation and implemented by the GIZ (German Federal Enterprise for International Cooperation)


Main Donor

Directorate-General for International Cooperation of the Dutch Ministry of Foreign Affairs (MFA NL), German Federal Ministry for Economic Cooperation and Development (BMZ), Norwegian Ministry of Foreign Affairs (MFA NO), Australian Agency for International Development (AusAID), UK Department for International Development (DFID), Swiss Agency for Development and Cooperation (SDC)
(Government)

Implementing Actor

Ministry of Energy and Mines, Ministry of Agriculture, Electricity supply companies (utilities), Regional governments, Local governments, Private companies (Government)