alternative energy promotion centre making renewable energy mainstream supply in nepal aepc...

Alternative Energy Promotion CentreMaking Renewable Energy Mainstream Supply in NepalA

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Renewable Energy Policy and Renewable Energy Policy and Development in NepalDevelopment in Nepal

Dr. Govind Raj PokharelDr. Govind Raj PokharelExecutive DirectorExecutive Director

September 24, 2008September 24, 2008


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Government of Nepal Declared F/Y 2008/09

Alternative Energy Year


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Policy Trend and AEPC Importance of Alternative Energy Technologies was

recognized during the 7th Plan Period (1987-1992)

The development of the Energy Sector was given special priority during the 8th Plan (1993-1998). Objective was to reduce the growing gap between urban and rural areas

Establishment of AEPC as Government Body (1996)


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Introduction - AEPCIntroduction - AEPC

National Executing Agency - RE programmes and Projects.

Government institution under MoEST- semi autonomous status.

Mandate: Promotion and development of RETs: Mini/Micro hydro power up to 1000 kW, Solar Energy, Wind Energy, Biomass Energy (biogas), Geothermal Energy, Energy Efficiency!


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Objective of AEPC establishment • to popularise and promote the use of

alternative/renewable energy technology • to raise the living standard of the rural people, • to protect the environment and to develop the

commercially viable alternative energy industries in the country


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Vision of AEPC

"An institution recognised as a regional/ international example of promoting large-scale use of renewable energy and a national focal point for resource mobilisation"


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Policy Trend and AEPC

One of the main objectives in 9th plan was to promote large Scale promotion of RETs for Poverty alleviation

Objectives of 10th Plan:

1. Promote and disseminate RETs as the powerful mean to enhance the livelihoods of the rural people for the poverty alleviation (increase purchasing capability)

2. Reduce the consumption of traditional energy sources


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Approach of RET

promotion • Demand driven programme • Involvement of Community, Local Bodies

(DDCs/VDCs) and NGOs-promotion and quality control

• Private sector responsible for manufacturing, supply, installation and after sale services of the RETs system

• Govt.’ technical support in terms of training, information, guidelines and quality assurance

• Collaboration with NGOs, Local Bodies and academic institutions


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ConsumerPrivate Sector

RET Supply

AEPC & Its Programs

Demand & Investment

Capacity Building

Mobilization, Capacity Building, Subsidy and

Promoting Agencies (Gos, NGOs, INGOs)


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Roles and Responsibilities of AEPC Short, medium and long term policy and plan

formulation Monitoring and Evaluation Promotion of RET Development Programmes; Standardisation, Quality Assurance and

Monitoring Chanelise Subsidy and Financial Assistance Co-ordination of (I)NGOs and Private Sector and Strengthening Organisation working in RET.


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Government’s Strategy

Emphasis will be given for locally available resources and skills

Priority will be given to programmes which are aimed at the integrated implementation for supporting the social, economic and environmental sustainability.

Subsidy policy will be revised as per need in order to increase the access of rural households/communities to rural energy technology and provide maximum benefit to them


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Existing Policies

Renewable Energy Subsidy Arrangement and RE Subsidy Delivery Mechanism introduced and implemented

Rural Energy Policy, 2006 Tax and VAT Exemption Biogas Credit Unit

Credit Support for the Biogas Plant Installation


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Financial Incentives/ Promotional Measures

Subsidy Based on capacity installed and HH benefited

Subsidy Delivery to users thru private companies by deducting from the system cost

Prospective manpower needed to private sectors are trained on Govt. cost

Tax and VAT Exemption in import of system/components

Biogas Credit Unit Credit Support for the Biogas Plant Installation


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Physical Progress of RETs in Physical Progress of RETs in NepalNepal

SN RE Type Unit Progress Benefited HHs

Access to Electricity 6 % Population

1. Biogas Plants Number 196,000 196,000

2. Micro hydropower kW 10,200 100,000

3. Solar Home System Number 126,780 126,780

4. Solar Tuki Number 59,120 59,120

5. Solar Cooker/Dryer Number 1,765 1,765

6. Improved Cook Stoves Number 278,342 278,342

7. Improved Water Mill Number 4,236 127,080

Total 891,087


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3 Y Interim (2007-2010)Plan for AE3 Y Interim (2007-2010)Plan for AE

SN Alternative Energy Technologies

Unit Target Access to Energy to HHs

Access to Electricity Additional 5 % Population

1. Biogas Plants No. 100,000

100,000

2. Micro hydropower kW 11,500 1,15,000

3. Solar PV Home System

No. 90,000 90,000

4. Solar Tuki No. 140,000

140,000

5. Solar Cooker/Dryer No. 1,500 1,500

6. Improved Cook Stoves

No. 300,000

300,000

7. Improved Water Mill No. 4,000 100,000

Total 846,500


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Other Plan of AEPCOther Plan of AEPC

Sensitize all Nepalese by Celebrating Alternative Energy Year

Promote Bio-fuel (Bio-diesel and Bio-ethanol) to blend in diesel and petrol ( at least 10% Ethanol)

Promote Wind Energy Solar PV in urban areas and Connection to grid Promotion of biogas in urban HH based on waste Adaptive R & D on Hydrogen Energy and other

technologies Promotional activities on Energy Efficiency


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Solution to Energy Crisis Solution to Energy Crisis Cooking/Boiling/Heating

Household waste biogas plant/ Phuksin Biogas plant feeding agro-waste

Solar Cooker Bio-briquette Solar water heater Efficient Cooking

Devices


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Solution to Energy Crisis: Solution to Energy Crisis: Transportation Transportation

More than 23 plants found in Nepal have the oil content as high as 80%

About 13,600 kL of resin and turpentine was produced by 12 industries and Nepal’s potential about 27,300 kL

About 1 million Kilo-liter of bio-diesel can be produced in Nepal per year if planed and developed properly.


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Main Challenges in RETs

Lack of technical persons in the RET sector

Lack of access of information to the people of the remote areas

Un-affordability i.e. low income of the people to use the technology especially Dalit, Marginalized and remote areas

Connecting several MHP/MMHP to mini-grid and ultimately to the grid wherever technically financially feasible

Lack of coherent policy in the sector


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Areas needed to be focused in RET

Developing manufacturing base (above 100kW)

Capacity building (Designers to installers & operators)

Financing (Commercial Banks and Local Financial Institutions)

End-uses/productive applications Adaptive R & D


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Strategies adapted recently

Decentralization (establishment of DEEU/S in 72 DDCs)

Draft 3 tier Monitoring MOUs for optimizing subsidy , integrated

development Technical Capacity Building for Designing

MHP system, Small Solar Home System, ICS, Wind etc


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Thank YouAny Questions??

For further information:

Alternative Energy Promotion Centre Khumaltar, Lalitpur

Ph- 5539390/5548468Email: [email protected]

Website: www.aepcnepal.org

alternative energy promotion centre making renewable energy mainstream supply in nepal aepc...

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