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African Rural Energy Enterprise Development Program (AREED) Approach to Impact Assessment. Development and Energy in Africa First National Workshop September 1, 2005. Kwaku Wiafe Senior Project Officer KITE. ….innovating energy solutions…. Outline. Objective of AREED program
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African Rural Energy Enterprise Development Program(AREED)Approach toImpact Assessment Development and Energy in Africa First National Workshop September 1, 2005 Kwaku Wiafe Senior Project Officer KITE ….innovating energy solutions….
Outline • Objective of AREED program • Approach to Impact Assessment • Presentation of sample results • Conclusion DEA 1st National Workshop-Accra ….innovating energy solutions….
Objective of AREED program • to develop sustainable energy enterprises that use clean, efficient and renewable energy technologies to meet energy needs of underserved populations DEA 1st National Workshop-Accra ….innovating energy solutions….
AREED Services • Enterprise development services • Start-up and growth financing • $500,000 invested in Ghana over 4 years DEA 1st National Workshop-Accra
Overview of Impact Assessment Objective – assess how far program is promoting sustainable development Process -Standardized • Qualitative and quantitative analysis • Financial and non-financial impacts • Additionality – Compare against baseline DEA 1st National Workshop-Accra ….innovating energy solutions….
Qualitative analysis - Approach • Stakeholder interviews: 15-20 for each enterprise – owner, staff, community representatives, customers, suppliers etc • Ranking of impacts by each stakeholder • Calculation of aggregated ranking DEA 1st National Workshop-Accra
Typical Interview (1): Community Representative Community benefits Infrastructural development New or more reliable source of energy Employment Sustainability benefits Health benefits Contribution to local economy Environmental Impacts DEA 1st National Workshop-Accra
Typical Consultation (2) – Customer • Fuel Switching • Previous source • Reasons for switching • Quantities purchased • Sustainability benefits • Product quality • Cost savings • Supply reliability • Health benefits DEA 1st National Workshop-Accra
Qualitative Analysis-Sample Results DEA 1st National Workshop-Accra
Quantitative Analysis - Approach • Review of: • Management and staff • Provision of service to customers and community • Environmental effects • Finance and operation DEA 1st National Workshop-Accra
Quantitative Analysis: Sample Results (1) DEA 1st National Workshop-Accra
Quantitative Analysis: Sample Results (2) DEA 1st National Workshop-Accra
Quantitative Analysis - Chart DEA 1st National Workshop-Accra
Conclusions • Measures enterprise specific, community level and global level impacts • Combines both qualitative and quantitative information • Only measures impacts related to investment DEA 1st National Workshop-Accra