National Workshop on Preparation of Sustainable Energy Advocacy Strategy for Non-State Actors (NSAs) in Tanzania

Peacock Millennium Towers Hotel, New Bagamoyo Road

(Ali Hassan Mwinyi Road), Makumbusho Area,

Kijitonyama, Dar es Salaam, Tanzania

17 December 2013

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1.0BACKGROUND

1.1Introduction

TaTEDO and HIVOS (East African Regional Office) are organizing a workshop which will debate on how stakeholders in Tanzania could contribute in the process of developing pro-poor energy services in Tanzania. Non State Actors (NSAs) (Civil Societies and Private Sector) seek to strengthen advocacy in energy services for the poor in Tanzania. Strengthened NSAs advocacy in energy services will require more supportive policies, increased financing, tackling energy access challenges and greater participation of NSAs at national, regional and international levels. In order to achieve sustainable energy access in Tanzania, there is a need for renewed political will and commitment of the energy stakeholders including the Government and that of the rest of the international aid agencies, if the energy access poverty is to be addressed and access to the majority is to be achieved in Tanzania.

The main objective is to strengthen advocacy capacity of NSAs in the energy sector through developing Sustainable Energy Advocacy Strategy for NSAs in Tanzania.

At the end, the workshop expects to achieve the following outputs:

  • To set a national advocacy agenda of SE4ALL for Tanzania: HIVOs in partnership with TaTEDO in Tanzania needs to approach the SE4ALL and renewable energy access for all agenda in a more focused and coordinated manner, many organizations we work with are pursuing different aspects of renewable energy, but we know that there are common and visible challenges that are a hindrance to achieving access to clean, affordable and sustainable energies, especially for the common people living in the villages, this workshop will aim at stakeholders developing and agreeing on a common advocacy agenda towards improving energy access and sustainability to the people of Tanzania.
  • To develop an action plan in line with the advocacy agenda set by the stakeholders: During this workshop we also intend to come up with an outline of common advocacy objectives and actions with regards to the agreed advocacy agenda. This common national RE advocacy actions will be owned and pursued by the stakeholders themselves under the coordination of TaTEDO.
  • Establish a monitoring mechanism and financing plan for our advocacy work in Tanzania: One of the main outcomes of the workshop will be a monitoring mechanism for the advocacy work and a financing plan, who will contribute what resources, what resources are already available with the stakeholders and partners, what forums are already in the pipeline and how can the different organizations collaborate and add value to the policy and practice advocacy efforts by individual organizations.

1.2Participation

The workshop expects to draw about 27 participants from stakeholders working in the energy and related supporting sectors.

1.3Organisation

The workshop is organized by Non-State Actors with logistical support from TaTEDO and HIVOS (East Africa Regional Office). The financial support is from the HIVOS of the Netherlands.

1.4Venues

The workshop will be held at Peacock Millennium Towers Hotel located in New Bagamoyo Road (Ali Hassan Mwinyi Road), Makumbusho Area, Dar es Salaam, Tanzania.

1.5Workshop Programme

The above objectives were achieved through the following meeting agenda:

  • Government Efforts, challenges and Opportunities in improving clean, affordable and sustainable energy access for all
  • Gaps that hinder private sector investment in renewable energy and private sector future plans/orientation in Renewable Energy
  • The common national policy and practice issues that are a setback for community access to clean affordable and sustainable energy
  • Advocacy and Advocacy Planning: What is advocacy? Advocacy outcomes, Energy Advocacy and Why are we doing this advocacy
  • Identifying Key Advocacy Issues
  • Develop Objectives of the Advocacy Strategy
  • An action plan in line with the advocacy objectives or agenda set by the stakeholders
  • A monitoring mechanism and financing plan for our advocacy work in Tanzania
  • Agree on Follow up Activities (Finalization of report and next meeting)

1.6Methodology

The workshop was an interactive working workshop, with structure and facilitation to identify the processes needed to prepare sustainable energy advocacy strategy for NSAs in relation to Sustainable Energy for All in Tanzania.

The meeting started at 9.58 am and was chaired by Dr Robert Otsyina from DASS. This was followed by the self-introduction from all the participants. The chairperson conveyed a little information about the workshop. The welcome remarks were given by TaTEDO Executive Director, Mr. Estomih Sawe. The workshop was officially opened by the Commissioner of Energy and Petroleum on behalf of the Deputy Permanent Secretary (Ministry of Energy and Minerals). The key note address on global sustainable energy issues were given by Eco-Matser from HIVOS, Netherlands. The welcome remarks and opening speech are attached as annex 2 and 3.

The workshop agenda was structured around four sessions; opening session, Preparation of Advocacy Strategy, Group Discussion and the Way Forward. The welcome remarks provided brief highlights of the energy with emphasis to access, affordability, security and energy poverty.

The paper presentation continued by using selected resource persons from TAREA, TaTEDO and HIVOs (regional Office). At the end of each session, the participants were given chance for discussing the paper. This was followed by group discussions which was organized and facilitated by the facilitator from HIVOS, Regional Office.

The future action plan for advocacy was discussed by participants and the Way forward session which agreed on Follow up Activities for NSAs in Tanzania. The workshop was closed by Chairperson (Dr Robert Otsyina)

2.0PROCEEDINGS

2.1Key Note Remarks (Global Advocacy Issues)(Eco-Matser-HIVOs, Netherlands)

Hivos is a Dutch development NGO with an extensive track record of over 40 years of grant management and project implementation. In East Africa Hivos works with local partners in the field of sustainable economic development including renewable energy and climate change issues. Hivos maintains an East Africa liaison office in Nairobi.. The brochure which explains people empowering change through renewable energy services is found in the web link of . Renewable energy is looked as mitigation to climate change;Hivos is therefore sending a message that is quite revolutionary for a development organisation: our goal is a 100% green and sustainable society. After all, robust ecosystems and biodiversity are the fundamental building blocks of our existence; we cannot survive without a healthy earth.

A green society is powered by green energy – everywhere and accessible for everyone. Hivos continues to choose 100% renewable energy and will continue to focus onaccess to renewable energy for poor people in remote areas.Access to 100% renewable energy for all’ requires a true energy revolution, a shift in how we think about and act on energy.

This calls for ambitious plans and an innovative approach – another area Hivos excels in. Large-scale, such as in five African countries where we are helping to build a serious market for biofuels. HIVOS helps to build local energy supply systems run by the peoplethemselves, with the help of governments and businesses. The organisation helps to embed renewable energy in society by building agreen business sector that offers not only access to energybut also employment. Creative minds, a generous dose of courage and the desire to cooperate: these are Hivos’ingredients for a green future. HIVOS welcome for cooperation with all parties that are interested and willing to contributework in renewable energy services

i) SE4ALL Country Level Action (source UN)

The table below gives the status of the implementation of SE4All Initiatives according to HIVOS and UN for different countries

Region / Africa & Middle East (43) / Americas & Caribbean (19) / Asia Pacific (14) / Europe & CIS (5)
RA/GA
(42) / •Angola
•Benin
•Botswana
•Burkina Faso
•Burundi
•Cameroon
•Cape Verde
•Central African Republic
•Chad
•Congo
•Cote d’Ivoire
•Democratic Republic of Congo
•Equatorial Guinea
•Ethiopia
•Gabon
•Gambia
•Ghana
•Guinea-Bissau
•Guinea-Conakri
•Kenya / •Lebanon
•Lesotho
•Liberia
•Malawi
•Mali
•Mauritania
•Mozambique
•Namibia
•Niger
•Nigeria
•Rwanda
•Sao Tome and Principe
•Senegal
•Sierra Leone
•Somalia
•South Africa
•Sudan
•Swaziland
•Tanzania
•Togo
•Uganda
•Zambia
•Zimbabwe / •Argentina
•Barbados
•Belize
•Bolivia
•Colombia
•Costa Rica
•Dominican Republic
•Ecuador
•Grenada
•Guatemala
•Guyana
•Honduras
•Jamaica
•Nicaragua
•Peru
•Saint Vincent and the Grenadines
•Suriname
•Trinidad and Tobago
•Uruguay / •Afghanistan
•Bangladesh
•Bhutan
•Cambodia
•Fiji
•Indonesia
•Laos
•Malaysia
•Mongolia
•Myanmar
•Nepal
•Pakistan
•Philippines
•Sri Lanka / •Armenia
•Kyrgyzstan
•Montenegro
•Tajikistan
•Moldova
•RED= rapid assessment completed according to UN
•GREEN = Rapid assessment completed according to UN and Hivos advocacy engagement

The country with green colour have completed rapid assessment according to UN and HIVOS advocacy engagement while ones with red colour rapid assessment are completed according to UN.

ii) Hivos Experience with Country Action

The table below gives the levels of progress of SE4All activities in six countries in Africa(with different levels of performance)

The ministry of Energy and Minerals (MEM)m according to Tanzania, have accepted to take a leading role of developing SE4All initiatives on behalf of other members. The GAP analysis document has been completed but the country has fear of being out of the country which will pilot this UN initiative in Africa.

iii) Grid, Mini-Grids and Stand Alone Systems

According to UNIDO, universal access to sustainable energy services is supposed to be created through grid extension, mini-grids and stand alone systems.

iv) Micro Hydro Locations and Grid Extension in Tanzania (IED)

There are 141 hydro sites with a capacity lower than 10 MW (88 sites with < 1 MW and 53 sites with <10 MW).

Map for Micro hydro locations (left) and Map for Grid Extension (Right)

The potential 347 localities are located within a 20 km buffer with a total population of 952,000 inhabitants and an average size of 2,720 inhabitants.

Hivos has dedicated staff on renewable energy and climate change issues. Furthermore, Hivos has regional offices for South East Asia, India, Middle America and Southern Africa working with and supporting partners also on the field of access to decentralised renewable energy systems for rural development, thus well attuned on the developments of diversified decentralised renewable energy systems.

2.2National Workshop on Preparation of Sustainable Energy Advocacy Strategy for Non-State Actors (NSAs) in Tanzania(by Godwin Msigwa-TAREA)

i)Introduction of TAREA

Found in 2000 as TASEA and changed to TAREA in 2010. TAREA, non-profit making NGO stands for networking the renewable energy stakeholders for the promotion of the sustainable renewable energy technologies in Tanzania Mainland.To date membership -360 of which 70 are companies. TAREA has two branches of Lake Victoria Zone and Northern Zone.

ii) Renewable energy initiatives

Building enabling environment (TAREA) for the Private sector

  • Since 2005 removal of taxes on solar and wind power and continues follow up of enforcement
  • Since 2012 removal of import duty of raw materials for the manufacture of panels
  • Since 2013 removal of import duty of plastic bio gas digester
  • Sep, 2013-Mar, 2014 EWURA developing REFiT
  • Review of SPP rules exempting projects under 100MW to have license

iii)Gaps That Hinder Private Sector Investment inRenewable Energy Services

  • Regulations: Tariff price, SPP, Tariff currency
  • Wind map
  • Project Financing Conditions
  • Tariff currency
  • SPP: Tariff Regulation

2.3Policy and Practice Setbacks for Community Access to Sustainable Energy Services (by Jensen Shuma-TaTEDO)

i)Key Messages

Energy Access in the Tanzanian Context entails the following items:

  • Use of different sustainable energy resources (electricity, modern fuels and efficient technologies)
  • Use these resources to change lives of the majority in both rural and urban areas in order to enable them to use modern services
  • Provision of clean energy through low carbon initiatives at local levels
  • Energy is not electricity only but both electricity and fuels (priority is required for both of them)
  • The Grid Electricity is expensive and mostly is addressing energy access for the people in urban areas.
  • If needs for the majority should be met, the priority should be on the decentralized RE systems to address energy access for more than 70% of population living in rural areas.

ii)Current Situation

Tanzania is endowed with diverse energy resources of different forms such as biomass, natural gas, hydro, coal, geothermal, solar and wind, uranium, much of which are untapped

The chart below shows Energy Consumption and Supply

Energy ConsumptionEnergy Supply

The residential sector (73%) is a major consumer while solid biofuels (88.4%) is the dominant energy source. Large consumption of biomass in residential sector is caused by affordability and location of a large part of population (more than 70%) in the rural areas.

Access to electricity currently stands at 18% and in rural areas is only about 7%. There are on-going efforts undertaken by MEM to change this situation:

  • Revising Policies and Strategies (the energy policy, liquid biofuel policy, gas policy, biomass energy strategy, Petroleum Policy and will be followed by geo-thermal strategy, renewable energy policy and rural energy strategy).
  • BRN to develop 29 large infrastructure projects mainly for electricity and gas. Some of the on-going projects in the energy sector are :

–Power generation projects (∑1010 MW)

–Power Transmission projects

–Scaling Up Renewable Energy Programme (Geothermal, Mini-grids and Off-grid electrification)

Total existing generation capacity is 1,431MW. The overall development from the last year has increased only 65MW out of 175MW expected. Efforts of the government are currently directed towards expanding electricity generation and revising policies.The target is to attain access by 50% of the population by year 2020. Development of fuels is left to the private sector and informal sector

iii)Energy for the Poor

Energy for the poor in Tanzania are solid biomass and human energy. Solid biofuels are used by more than 90% of population. Human energy to a large extent is used for rural transport, farming, processing, etc. Energy efficiency for energy use is stipulated in the policy but little has been done to practice it (even in biomass energy). Women and children are the main users, suppliers and most affected by inefficiency use of biomass energy resources

iv) Potential for Sustainable Energy Systems

  • Large and Medium Scale Energy Systems

–Co-generation Systems (Sugar and sisal industries)

–Geothermal Energy Systems

–Large Hydro Power Systems

–Thermal power systems

Most of these systems supply electricity to urban and peri-urban areas – feed electricity into national grids serving only 1% of population

  • Small Scale Renewable Energy Systems

–Solar Energy Systems (PVs, Phone Chargers, PUCs etc.)

–Energy Service Platforms (biofuel powered systems)

–Small Hydro Systems (Pico, Micro and Small Hydro)

–Biomass Energy Systems (improved cook-stoves, biogas, ovens, etc.)

The decentralized RE systems are used for both urban and rural areas. They are affordable, replicable and can support the majority in urban and rural areas.

v) Sector Financing

According to Joint Sector Review document, the following are financing of the projects

Out of the finance above, only small amount of funds allocated by the Government and less than 2% allocated for biomass which is energy for poor.

vi) Setbacks

There are several setbacks for increasing access to energy services. These include among others:

  • Policy and institutional Issues

–Lack of enough resources to implement national energy policy and facilitate greater access to modern energy services.

–Inadequate local institutional framework for facilitating energy access for the majority.

–Low participation of the private sector and communities in planning and implementation of energy access initiatives.

–Lack of capacity to produce energy equipment and spare parts, hence high costs of foreign expertise and equipment.

–Supporting systems for developing modern energy services are centralised in Dar es Salaam.

  • Financial

–Inadequate financial resources allocated to modern energy technology/rural energy development.

–Lack of financial mechanisms to enable people’s access to credits to cover costs of implementation, connection, spare parts and services.

–Sustainable energy projects have a high capital costs (with capital intensive technologies)

–High cash poverty levels of most people, SMEs and communities limit people’s ability to acquire modern energy technologies and services.

  • Technical

–Energy illiteracy is a drawback for energy technology adoption as there is no adequate knowledge to appreciate the benefits, costs, sustainability and risks of energy:

–Inadequate capacity in the country and at the local level to exploit existing energy resources

–Limited technical, financial and delivery mechanisms.

–Multiple risks in developing sustainable energy projects in Tanzania, including off-taker risk, currency risks (if PPA in TZS), and resource uncertainty.