Burundi Project Notice - Solar Energy In Local Communities


Project Notice

PNR 40478
Project Name Solar Energy in Local Communities
Project Detail PROJECT DESCRIPTION A. Project Development Objective PDO Statement 18. The Project Development Objective (PDO) is to expand access to energy services for households, enterprises, schools and health centers in rural areas of Burundi. PDO Level Indicators 19. The PDO level indicators are as follows (section VI presents the complete Results Framework): • People provided with new or improved electricity service (Core Results Indicator, Number) • Health centers and schools provided with new or improved electricity services (Number) • Households provided with clean and efficient cookstoves (Number) • Schools provided with clean and efficient cookstoves (Number) B. Project Components 20. The proposed Solar Energy in Local Communities Project (SOLEIL), also known as NYAKIRIZA by local Burundians, is designed to provide energy services to promote human capital development, enhance productivity of rural enterprises, and reach poor and vulnerable populations, including women. 21. The proposed project harnesses solar power to deliver energy services and simultaneously diversifies the energy mix in a country currently dominated by hydropower, thereby strengthening energy security and contributing to a decrease in CO2 emissions (by using solar power to replace use of kerosene or reduce use of gensets). The proposed project will leverage the recent advances in the solar market to expand access in Burundi; advances include: (a) dramatic technology innovations that have led to equally dramatic cost reductions in renewable energy (particularly solar PV) and energy storage technologies, significantly reducing the costs of serving remote customers through mini-grids; (b) recent innovations in today’s standalone solar systems resulting in more service for less money, more product offerings meeting quality standards (owing to the impressive efforts of Lighting Africa), and new business models such as pay-as-you-go that lower the upfront barrier of acquiring the systems; and (c) parallel technology innovation in smart grids and smart metering technologies that created a space for new business models that (i) significantly reduce operation and maintenance (O&M) costs; (ii) provide opportunities for smart energy efficiency measures and improved balancing of demand and supply; and (iii) have additional positive impacts on service quality for end users. 19 22. The project would leverage ongoing programs in education and health to deliver energy services to such facilities. Public energy programs have been financed by a few development partners over the past couple of years that led to a total of approximately 120 electrified health centers and up to 50 electrified schools, and approximately 400 primary schools were provided with CECs. The Government’s performance-based fund (PBF) mechanism supporting health centers throughout the country will be used to guarantee viability of energy systems in those facilities beyond project life, while the project will build on the National Canteen Program to provide CECs to those schools in the program. 23. Project design is underpinned by comprehensive, data-driven analytics. With ESMAP support, Burundi is developing a least-cost geospatial plan, off-grid market assessment, public facilities needs inventory, an energy access survey and a clean cooking assessment. These studies are informing project preparation and will strengthen implementation; they will also contribute to the preparation of the Government’s off-grid strategy. The results of these studies can help strengthen governance and transparency; and establish a future basis for replication by constituting a useful set of data that can be used by other donors and the private sector to support off-grid interventions. 24. The proposed project benefits a varied group of consumers by creating opportunities to improve the provision of community services, generate income and enhance productivity in rural areas, and improve consumer welfare. Health and education facilities, households (including the poor and vulnerable and those headed by women), agriculture farms, and SMEs will receive enhanced access to energy services. The project will deploy PV-based mini-grids, utilizing recent trends in PV technology and business models that leverage private sector strengths and efficiencies in constructing, operating and maintaining these mini-grids. A geospatial analysis funded by ESMAP has already identified approximately 150 potential mini-grids for locations that are not expected to be connected to the national grid in the short term and mid-term, with the potential to provide electricity to 90,000 customers and at the same time creating economic opportunities and supporting electrification of public facilities in those communities. The project will also deploy standalone solar systems and CECs for the improvement in welfare. The market for stand-alone solar systems in Burundi is estimated to be around 2 million households.20 Component 1: Energy Services for Schools and Health Service Centers (IDA US$27 million equivalent) 25. Under this component, the project will finance the design, installation, maintenance, and replacement of solar PV system components and institutional CECs in unelectrified schools and health facilities located in remote areas. The component will enhance the quality of health and education services to the rural parts of the population, with an estimated 6,300,000 beneficiaries annually once all targeted institutions have been equipped.
Funded By World Bank
Sector Energy & Power
Country Burundi , Eastern Africa
Project Value BIF 100,000,000

Contact Information

Company Name Ministère de l’Hydraulique, de l’Energie et des Mines (MINHEM)
Address Team Leader Rhonda Lenai Jordan Antoine, Justin Marie Bienvenu Beleoken Sanguen
Web Site https://projects.worldbank.org/en/projects-operations/project-detail/P164435

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