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Millennium Development Goals and the PV Industry: Is the Motivation Self-Interest or Selfless?

Millennium Development Goals and the PV Industry: Is the Motivation Self-Interest or Selfless? . Anil Cabraal Lead Energy Specialist The World Bank. Plenary Session: Global Aspects of PV Electricity 21 st European Photovoltaic Solar Energy Conference and Exhibition September 8, 2006.

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Millennium Development Goals and the PV Industry: Is the Motivation Self-Interest or Selfless?

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  1. Millennium Development Goals and the PV Industry: Is the Motivation Self-Interest or Selfless? Anil Cabraal Lead Energy Specialist The World Bank Plenary Session: Global Aspects of PV Electricity 21st European Photovoltaic Solar Energy Conference and Exhibition September 8, 2006

  2. Outline • World Bank Group & Renewable Energy • MDGs & Energy Access Challenge • Potential for Off-grid PV • Limitations of Current Approaches • Recommendations • Conclusions

  3. MIGA ICSID International Development Association (IDA) International Finance Corporation (IFC) The World Bank Group Two of the development objectives: Poverty Reduction and Environmental Improvement

  4. WBG Photovoltaic Projects Serving >1,43 million HH + Facilities ~7.5 million persons ~64 MWp 31 Countries Total Value: ~$776 million Bangladesh 198,000 Cambodia 10,000 China 400,000 India 45,000+ Indonesia 8,500 Laos 4,000 Mongolia 50,000 Pacific Islands 21,000 Philippines 135,000 PNG 2,500 Sri Lanka 105,000 Vietnam Burkina Faso 8,000 Cape Verde 4,500 Ethiopia 6,300 Kenya Madagascar 15,000 Mali 10,000 Morocco Mozambique 9,800 Senegal 10,000 Swaziland 2,000 Uganda 90,000 Tanzania 140,000 Argentina 30,000 Bolivia 60,000 Ecuador 2,200 Honduras Dominican Rep. Mexico 1,000 Mexico 36,000 Nicaragua 6,000 Includes projects completed, under implementation and preparation

  5. The Electricity Access Challenge

  6. Potential for Off-Grid PV • Four out of Five people without access to electricity live in dispersed rural communities. • Off-grid PV can: • Be less costly • Be deployed rapidly • Build on existing public and private institutional capacity • Numerous opportunities for PV industry in developing world – For example… • Africa Access Plan • China Township & Village Electrification Programs • India Rajiv Gandhi Rural Electrification Program • Philippines Missionary Electrification Development Plan

  7. Limitations of Current Approaches • High cost of non-competitive awards • Limited leverage of donor resources • Give away systems - No ownership • Parachute-in technology – inadequate attention to long term sustainability • Inadequate community consultation • Pilot projects too small to be sustainable

  8. Recommendations (1) • Convince decision-makers of value of PV for development • Build trust - Improve dialogue among key players, government, community, private sector • Build partnerships – local firms and financial institutions • Move from a project-oriented to market/ programmatic approach

  9. Recommendations (2) • Leverage funding • Adhere to quality standards for both products and services • Avoid technology dumping and ensure long term financial sustainability of investments • Arrange for long term operation • Take advantage of local capacities

  10. Conclusions • Many opportunities for PV industry in developing world to contribute to MDGs and increase business and profitably • Will require thinking beyond boundaries and timeframes of an individual project.

  11. Thank You! http://www.worldbank.org/energy http://www.worldbank.org/re http://www.worldbank.org/retoolkit

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