EU COOPENER PROJECT NATIONAL WORKSHOP

1. EU COOPENER PROJECT NATIONAL WORKSHOP EU COOPENER PROJECT NATIONAL WORKSHOP Energy,Poverty Reduction and the MDGs in Zambia Geoffrey Musonda Department of Energy 9th September, 2005

2. EU COOPENER PROJECT NATIONAL WORKSHOP Background Information on Zambia • Population – 10 million • GDP Growth rate (2000) – 3.5% • GNP per capita (2001) - $342 • Urban Electrification – 48% • Rural Electrification – 2% • Share of modern energy – 19%

3. EU COOPENER PROJECT NATIONAL WORKSHOP The strategic Nature of Energy • Energy is the engine of development • Need to raise awareness within Government, the donor community, private sector etc on the strategic nature of energy in the fight against poverty • Need to integrate energy planning in other sectors such as health,education and agriculture • Integration of energy planning is key to the successful implementation of the PRSP and consequently attainment of the MDGs

4. EU COOPENER PROJECT NATIONAL WORKSHOP Energy Sector Goals • Rural electrification – increase from 2% to 15% in 10 years • Urban Electrification - – increase from 45% to 78% in 10 years • Charcoal consumption – reduce by 400,000 tonnes in 10 years • Increase generation capacity • Increase power exports • Increase regional interconnectivity

5. EU COOPENER PROJECT NATIONAL WORKSHOP GVEP In Zambia • MEWD signed on membership in June, 2003 • GVEP Technical Secretariat established at the Department of Energy within the MEWD to coordinate the GVEP activities and monitor developments in September,2003 • National GVEP Working Group established in October,2004 and terms of reference for working group developed

6. EU COOPENER PROJECT NATIONAL WORKSHOP GVEP In Zambia cont... • Working group to be assisted by four subworking groups which will focus on technical issues,outreach and information,finance and private sector and rural energy policy development

7. EU COOPENER PROJECT NATIONAL WORKSHOP The Zambian GVEP objectives • Support poverty alleviation and sustainable growth by promoting increased access to modern and affordable energy services • Mobilize foreign, regional, and local resources on providing access to sustained, affordable, reliable, clean, healthy, and efficient energy services • Facilitate the environment for an improved integration of clean energy in the national development plans and programs

8. EU COOPENER PROJECT NATIONAL WORKSHOP The Zambian GVEP Priorities • Address energy-poverty nexus • Engage private sector, civil society, and other stakeholders • Support national and local implementation of energy-poverty programs • Manage knowledge and disseminate information on successful programs, available technologies, and workable business and financing models • Develop capacity and mitigate barriers to increasing clean energy access • Monitor results at the national level

9. EU COOPENER PROJECT NATIONAL WORKSHOP The Zambian GVEP Approach • Work to integrate energy access as a crucial element in the national development policies and investment programs • Engage entrepreneurs and energy users in the design, installation and operations of replicable clean energy service delivery for poverty alleviation and development • Facilitate preparation of market regulatory frameworks for sustained clean energy services • Disseminate technology information and best practices

10. EU COOPENER PROJECT NATIONAL WORKSHOP The Zambian GVEP Current Status • In the process of engaging a consultant • Consultant will be tasked to develop an Energy – Poverty Action Plan and identify pilot projects • The Energy Poverty Action Plan will be derived from the Energy Policy and PRSP implementation plan • GVEP Zambia will implement energy- poverty pilot projects in preparation for up scaling of project • Discussions and national stakeholder consultation will be key to development of an Energy – Poverty Action Plan

11. EU COOPENER PROJECT NATIONAL WORKSHOP EU Energy Initiative -Intergration in the Zambia PRSP • Zambia regards the EUEI as an important initiative in the (attainment of the MDGs) poverty reduction drive • Project development will fall within the PRSP framework

12. EU COOPENER PROJECT NATIONAL WORKSHOP EU Energy InitiativeProposed Projects • Rural Electrification – Grid and other sources • Aimed at boosting agric sector • Production and Use of biofuels • Feasibility studies • Production • Promotion and end use • Increased alternative energy services for domestic sector • LPG,gel fuel and improved stoves

13. EU COOPENER PROJECT NATIONAL WORKSHOP EU Energy InitiativeProposed Projects –cont.. • Strengthen monitoring and evaluation capacity of MEWD • Energy Sector Capacity Building • Awareness and Skills among: • Energy Regulation Board • Consumers • Private Sector

14. EU COOPENER PROJECT NATIONAL WORKSHOP EU Energy InitiativeWay Forward • Presentation of proposed projects to the Energy Sector Advisory Group • Discussion with MOFNP officials • Integration of the Proposed Projects in the 2006 National Budget

15. EU COOPENER PROJECT NATIONAL WORKSHOP Conclusion • There is need to sensitise all government departments,NGOs,private sector and the donor community on the critical nature of energy not only in the development agenda but also in the fight against poverty • We still need to work extra hard not only in the energy sector but in other sectors as well to implement the PRSP and attain the MDGs

16. EU COOPENER PROJECT NATIONAL WORKSHOP THE END THANK YOU FOR YOUR ATTENTION