Stimulating Progress towards Improved Rural Electrification in Solomon Islands.

Under this component, the solutions that will address the information and capacity issues that are currently hindering investments on rural electrification in the Solomon Islands will be developed and implemented. The expected outcome from the various deliverables that will come from the activities that are planned under this project component is enhanced awareness and knowledge of the government, private sector and communities on the available RE resources such as geothermal, wind, biomass, and ocean energy and the cost-effective application of these resources and EE technologies/practices.

Outcome 4: Enhanced awareness and knowledge of the government, private sector and communities on the cost-effective application of RE and EE technologies/ practices

Component 4, Outcome 4, Outputs and Activities

OutputActivities
4.1: Developed and implemented capacity development program on rural electrification planning, energy-integrated development planning, RE/EE technology application project design, implementation, operation and maintenance [Gen2]4.1.1: Carrying out capacity building needs diagnostic on integrated national and rural electricity planning and design, implementation, operation and maintenance of RE/EE technology applications and development of a capacity building strategy and design of a comprehensive training program for RE and EE
4.1.2: Implementation of capacity building strategy and design of a comprehensive training program including gender perspectives
4.1.3: Monitoring and evaluation of the implementation of the impacts of the capacity building program
4.2 Designed, implemented and operational national supply and consumption monitoring, reporting and database system, including data/information on the annual energy performance and impact assessment of implemented demos [Gen 2]4.2.1: Renewable energy resources supply mapping including risk and opportunities for renewable energy investment in the context of national energy supply
4.2.2: Development of consumption monitoring, reporting, database system and impact assessment of demo and baseline projects
4.2.3: Development of suitable business models for communities, institutions and direct RE users including community-based RESCOs
4.3: Operational information exchange system for the promotion and dissemination of knowledge on sustainable energy technology applications in support of rural electrification and low carbon development. [Gen 2]4.3.1: Establishment and operationalization of knowledge exchange system among RE projects through study visits and internet-based facilities for RE facility owners, stakeholder representatives, RESCO members, developers, project implementers and users of sustainable energy applications
4.3.2: Development of capacity to analyze and apply concepts learned on feed-in-tariffs, green certificate trading systems, incentive models for RE in support of rural electrification
4.3.3: Development of capacity to analyze and apply concepts learned on financial schemes to promote socio-economic aspects of RE to reduce poverty through rural electrification and support low carbon development
4.4: Established local service provision industry that supports the rural electrification program and the rural electricity sector [Gen2]4.4.1: Establishment of and support for local service industries on RE/EE technology application, energy production, and equipment supply and maintenance
4.4.2: Development and implementation of a vocational training program for technicians and piloting of relevant courses at SINU on RE/EE technology applications in rural areas
4.4.3: Establishment, mobilization and development of suitable business and operation model for RE-based rural electrification and EE technology application projects in off-grid villages

Output 4.1: Developed and implemented capacity development program on national and rural electricity sector planning, energy-integrated development planning, RE/EE technology application project design, implementation, operation and maintenance [Gen2]

During the first half of the 3-year implementation period of the project, a comprehensive capacity building and training program will be designed, organized and conducted for relevant agencies and responsible personnel in national energy development, planning and implementation.

Activity 4.1.1: Carrying out capacity building needs diagnostic on integrated national and rural electricity planning and design, implementation, operation and maintenance of RE/EE technology applications and development of a capacity building strategy and design of a comprehensive training program for RE and EE. This involves the conduct of a human resource capacity gap analysis and training needs assessment before the design of the appropriate training program to incorporate different training strategies and modalities. The design of the training program will be based on the conceptual approach initially developed in Activity 2.1.3 regarding the institutional and operational frameworks and the requirements to support national energy development, planning and implementation. This also includes the organization and conduct of training/workshops for identified levels, hands-on advanced technical training (e.g. training workshops on national energy supply/demand balance assessment, energy planning tools, national electricity supply development, rural electrification modeling and infrastructure planning, energy modeling, field trips or study visits on existing RE-based rural electrification installations. This assessment will be guided by the Chief Technical Advisor (as an international technical RE/EE specialist), among his/her other functions, to be done within the first half of the project implementation. The basic output of this activity is the development and approval of a capacity building strategy and comprehensive training program for RE and EE (to include public, private and rural communities).

Activity 4.1.2: Implementation of capacity building strategy and comprehensive training program including gender perspectives. This involves the implementation of the approved capacity building program involving development of appropriate training materials, on-the-job training activities for each demonstration project and organization of a seminar/workshop to specifically discuss and promote the results of the demonstration projects. It is envisaged that the capacity building program for demonstration project personnel will be completed by the middle of the 3-year implementation period with a continuing plan to sustain availability of the human resources and a back-up plan in case of transfers or resignations. In coordination with Activity 2.4.2 regarding GESI training program development, the implementation of capacity development and training program in this Activity 4.1.2 shall include, among others, (a) Livelihood training for women (sewing, baking, cooking, fisheries seafood trainings, financial literacy, banking) and for men in ice-making, joinery and other relevant trainings and (b) Basic solar system training and training of trainers for women technicians. The implementation of on-the-job training activities will address all key elements of each demonstration project, including financial arrangements, detailed engineering designs, equipment procurement, construction, installation, commissioning, debugging, operation and maintenance.[1]

Activity 4.1.3: Monitoring and evaluation of the implementation of the impacts of the capacity building program. The evaluation of the training program will be carried out in two stages: (1) through immediate quantitative and qualitative evaluation after each training activity, and (2) impact evaluation of energy development, planning and implementation delivered by trainees from the key stakeholders and agencies involved. A seminar/workshop to discuss and promote the results of all demonstration projects as well as progress in the base line projects will be organized as part of the monitoring and evaluation (M&E) activities of all the RE-based projects and EE technology application in the country. In the seminar or workshop, the hosts of the RE-based demonstration will report on the accomplishments of the pilot demonstration that was implemented highlighting main experiences, best practices, lessons learned, and their recommendations for development and implementation of more RE projects in Solomon Islands. Representatives from other demonstration projects and other stakeholders involved in in the baseline projects will also be invited. Further, an overall impact evaluation will be carried out at mid-term in order to determine means to improve the program and before closing of the project in order to assess the impact of the capacity development program. Recommendations for continuing the capacity development program after the project shall be endorsed to MMERE and a commitment to carry out and improve the follow-up training program shall be part of the post-project arrangements and exit strategy to ensure sustainable RE program for the replication plans.

GEF support is required for the incremental technical assistance in the developing, design and evaluation of the capacity development for key stakeholders and agencies of RE-based electricity generation and EE technology application and the necessary travel, conference and meeting expenses in gathering information, conduct of consultations and seminar/workshops.

Output 4.2 Designed, implemented and operational national energy supply and consumption monitoring, reporting and database system, including data/information on the annual energy performance and impact assessment of implemented demos [Gen 2]

Activity 4.2.1: Renewable energy resources supply mapping including risk and opportunities for renewable energy investment in the context of national energy supply. This activity involves the review and validation of the different RE resources, including solar, wind, geothermal, biomass, hydro and ocean/tidal energy, in terms of economically exploitable potentials, location and possible developers to ascertain the RE supply base for rationalizing the targets and timeframe of development opportunities. Based on the results of assessment, consultation with key stakeholders and communities, a RE resource mapping will be developed and the data/information gathered will be stored in a database system for use in integrated planning, monitoring and reporting for achieving the targets set. Using a set of criteria for prioritizing the RE resources for sustainable development, the sites will be evaluated, classified and documented as a resource inventory indicating quantity, capacity and duration of the RE generation to support access to electricity supply in rural areas which will be made available for information of potential investors, developers, banking and financing institutions and direct institution and community users. This will also be the basis for the government through MMERE to issue development permits for registration and possible support in developing the resources and arranging for the financial requirements as may be necessary.   

Activity 4.2.2: Development of consumption monitoring, reporting, and database system and impact assessment of demo and baseline projects. This activity involves the integration of the results of the RE resource assessment, mapping and database development and information and data systems for RE/EE technology application in the overall existing energy system of the country. This is to come up with the overall national energy supply and demand planning capability along the principles and policies provided for the national energy policy and program to support the socio-economic objectives of the country. This activity also involves analysis of the social, economic and environmental aspects of RE-based electricity generation and application of available RE resources such as solar, wind, biomass, hydro and geothermal energy. In this connection, the activity will also involve the technical and economic evaluation of applicable technologies for RE-based power generation in rural setting. The evaluation will be based on the findings and recommendations in Activity 4.2.1. The activity also involves the integration of the databases and info systems regarding improved configurations of more stable RE-based power generation and distribution technology e.g. micro/mini grid with possible interconnection or decentralized systems for individual users, educational institutions or communities. The integration process will aim towards having reliable, safe, environment-friendly and cost-effective generation and access to electricity to support basic human needs, opportunities for women involvement and benefits and therefore also increase the RE share in the overall power generation mix of the country.

Activity 4.2.3: Development of suitable business models for communities, institutions and direct RE users including community-based RESCOs. This activity involves the study and design of various options for sustainable business models to develop and utilize RE resources for supporting rural electrification and productive uses of energy for income generating possibilities. The assessment of business models including RE service companies (RESCOs) that have been applied in Solomon Islands or in other PICs shall recommend pricing guidelines, alternatives for public-private partnerships, financing options, procurement of equipment and replacement parts and logistics support to rural areas. The activity will also develop and provide technical advice, information, capacity building and financial incentives to encourage RE development for rural electrification and income generating possibilities involving women participation of women to encourage gender mainstreaming especially for remote areas where there are significant number of households surrounding communities and institutions through a combination of project and government assistance.

GEF support is required for the incremental technical assistance in the developing and design consumption monitoring, reporting and database system, including data/information and the necessary travel and meeting expenses in gathering information and conduct of consultations.

Output 4.3: Operational information exchange system for the promotion, on sustainable energy technology applications in support of rural electrification and low carbon development [Gen 2]

Activity 4.3.1: Establishment and operationalization of knowledge exchange system among RE projects through study visits and internet-based facilities for RE facility owners, stakeholder representatives, RESCO members, developers, project implementers and users of sustainable energy applications. This activity involves the development, installation and operation of a knowledge exchange systems to support the overall RE-based rural electrification and low carbon initiatives. In addition, a website will be developed to serve as base for a knowledge exchange system. The SPIRES website (to be adopted by MMERE as it fully developed) will be integrated with database, communication tools and user management system in cooperation with other RE-related projects starting with the members of the Project Board. This will enable the MMERE to effectively facilitate implementation of RE policy and legal frameworks. The SPIRES website will also be designed to support monitoring and reporting of RE resource supply and consumption in Solomon Islands at the national and provincial levels. To assist in design, development, operation and maintenance of the website, an information technology and database expert will be engaged in coordination with other stakeholders. Other RE-related or baseline projects will also be included in the system for monitoring purposes. Related capacity building and training for sustained operation of the knowledge exchange system and data base management will be provided by the project. Such network will also consult and coordinate with the Global Renewable Energy Islands Network (GREIN), which is a network that help SIDS in accelerating their renewable energy uptake, serving as a platform for pooling knowledge, sharing best practices and seeking innovative solutions for the accelerated update of clean and cost-effective renewable energy technologies in island states and territories.

 Activity 4.3.2: Development of capacity to analyze and apply concepts learned on pricing, feed-in-tariffs, green financing, and incentive models for RE in support of rural electrification. This activity involves the review of national and international experiences on possible schemes that could be adopted for the promotion and implementation of RE and EE technologies in Solomon Islands including studies in electricity pricing, feed-in-tariffs, green financing, incentive models for RE and other market development support to promote RE application in rural electrification as part of the capacity building for MMERE, MECDM and key stakeholders. Results of these studies can feed into the development of the national energy policy and program to be incorporated in the proposed energy bill as planned in Component 1.

Activity 4.3.3: Development of capacity to analyze and apply concepts learned on financial schemes to promote socio-economic aspects of RE to reduce poverty through rural electrification and support low carbon development. In this capacity development activity the applicable financial schemes will be determined from available experiences to orient MMERE, MECDM, and other stakeholders on these experiences to promote the application of RE- based electricity generation for rural electrification in Solomon Islands. Such schemes are intended to address the barriers to investments in RE and EE technologies and leverage with existing and planned socio-economic development program for the country in line financing support to RE projects. This will include risk sharing schemes, such as a partial credit guarantee or a co-financing scheme and financial schemes to promote potential financing instruments to support RE/ EE investment in Solomon Islands. A promotional activity will be designed and implemented to promote the proposed financial schemes and participation of banks and financing institutions, potential investors in RE projects and potential beneficiaries throughout Solomon Islands.

GEF support is required for the incremental technical assistance in developing and design information exchange system for the promotion and dissemination of knowledge and the necessary travel and meeting expenses in gathering information and conduct of consultations.

Output 4.4: Established local service provision industry that support the rural electrification program and the rural electricity sector [Gen2]

Activity 4.4.1: Establishment of and support for local service industries on RE/EE technology application, energy production, and equipment supply and maintenance. This activity involves the development of the local service industry in all aspects of the supply chain in acquiring, installing, managing, operating and maintaining RE-based systems for rural electrification with involvement of the communities, entrepreneurs and social institutions interested in developing electrification projects in the rural areas. Firstly, the conduct of detailed technical assessment and validation of the RE resource power generating capability (solar, mini/micro hydro, biomass, wind and other RE resources) shall be done with the help of service providers that will be authorized with the help of MMERE technical team. Secondly, an assessment of the capacity and available human resources of the potential project proponents of RE-based electricity generation projects shall be done to determine gaps in the provision of technical operation and management services for these decentralized power projects their productive and social uses (i.e. communities, entrepreneurs and social institutions). Based on the identified gaps, the need for training local service providers in meeting the requirements of the different aspects of service gaps will be determined to develop appropriate local service practical support for the potential RE developers and investors. In line with improving access to resources, information and opportunities at the village level, the activity will also involve providing support to gender sensitive companies for sourcing and distribution of energy goods and services to communities that cater to the specific needs of men, women and youths. Thirdly, the assessment of the capacity of the potential project proponents should also determine the level of gender considerations in the provision of technical operations and management services for the rural power projects.

Activity 4.4.2: Development and implementation of vocational training program for technicians and piloting of relevant courses at SINU on RE/EE technology applications in rural areas. This activity addresses the lack of human resources to support the development, installation, construction, operation, maintenance and management of RE-based and possible hybrid systems. Partnerships with schools and universities offering RE related training courses and specialized technical operation and maintenance on-the-job training will be tapped starting with the demos and expanding to the replication projects. Educational institutions can also develop curriculum and their implementation for training of trainers for vocational training for technicians in RE/EE technology applications. The piloting of the RE Course programme will provide a continuing education on the technician and professional engineering degree courses to support the long-term development of the RE program of the country. For the initial course, solar energy and mini/microhydro technologies will be covered. It will also develop licensing system for graduates and accreditation to a recognized authority for graduates. A periodic monitoring and evaluation of this training program will be conducted to ensure sustained provision and improvement on the training services. This will also include a continuing plan for a capacity development program for schools and universities.

Activity 4.4.3: Establishment, mobilization and development of suitable business and operation model for RE-based rural electrification and EE technology application projects in off-grid villages. This activity involves the assessment of various electricity service delivery mechanisms for rural electrification used in Solomon Islands and other similar PICs. The mechanisms include RESCO as studied in Activity 2.2.3 and demonstrated Component 3 as community-based and institution-based RESCOs in comparison with other possible mechanisms such as the concession model, straight lease model, lease-to-own model or private-public partnership model. As a result of the assessment and recommendations in the matching of models to needs in villages of Solomon Islands, an organization and operational guidebook will be developed and disseminated for use in selection, planning, defining, specifying and preparing for project development of suitably matched project and attendant mechanism in selected communities and institutions in rural areas.

 

GEF support is required for the incremental technical assistance in developing and capacity building of the local service provision industry and other support system and the necessary travel and meeting expenses in gathering information and conduct of consultations.

[1] Depending on the needs analysis in Activity 4.1.1, the following topics will be covered in the training program to be validated by the needs analysis in Activity 4.1.1: (a) Understanding of the design of each demonstration of RE/EE energy technologies for power generation and application to households and income generation possibilities, (b) Mastery of the Operations and Maintenance manual developed for the demo project, (c) Routine operation and maintenance of the RE demonstration and application installation, (d) Simple trouble shooting and maintenance; and (e) operations data gathering, logging and reporting of all critical operational experiences. The implementation schedule of the classroom training and on-the-job activities including review and updating session every six months each year will be developed and approved to be updated regularly.

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