Working for Energy Programme: Renewable Energy and Energy Saving Initiatives to Address Energy Poverty

1. PRESENTATION TO THE PARLIAMENTARY PORTFOLIO COMMITTEE ON ENERGYON THEWORKING FOR ENERGY PROGRAMMEPARLIAMENTCAPE TOWN30 JULY 2013

2. LEGISLATIVE MANDATES • White Paper on Energy Policy, 1998 • SANEDI’s mandate is derived from the authority and obligations set out in the following policies, legislation and constitutional requirements • The SA Constitution , (Act 108 of 1996) • National Energy Act , (Act 34 of 2008) • Strategic Plan of the Department of Energy . • Specific plans, directives and public announcements which reinforces SANEDI’s responsibilities

3. STRATEGIC OUTCOMES /PROGRAMMES

4. STRATEGIC OUTCOME ORIENTATED GOALS-(Cont’d) INNOVATION VALUE CHAIN- STAGES

5. TECHNOLOGY VALUE CHAINROLEPLAYERS Source: TIA

6. WORKING FOR ENERGY PROJECTS

7. ORIGINS OF THE WORKING FOR ENERGY PROGRAMME • Mandate of the Department of Energy. • Set in a predominantly grid based environment of the National Electrification Programme. • Set to demonstrate the application of renewable energy to address energy poverty in far flung areas • Flows from the Working for Water Programme’s removal of invasive and alien species programme for energy production. • Essential element of job creation drive of Government under the incentivised Expanded Public Works Programme (EPWP). • Targeting the youth, women, people with disabilities. • Focusing in rural areas (and low income peri-urban areas).

8. MANDATE OF THE WORKING FOR ENERGY PROGRAMMERenewable Energy • The Working for Energy Programme is aimed : • Applied Research • Research into the availability and sustainability of renewable energy resources in targeted areas (rural areas and low income urban areas); • Demonstration of Renewable Energy Technology Applications • Biomass to energy initiatives from invasive alien plants and bush encroachment; • Production of charcoal derived in an environmentally friendly manner from invasive alien plants and grasses; • Biomass to bioenergy (biogas) derived from agricultural waste for rural and non-municipal commercial application • Development of mini-grid hybrid and smart grid systems fed from various renewable based resources; • Mini-hydro systems and run-of-river schemes for non-grid applications. • Solar powered electricity generation systems for small scale and minigrid based systems. • Waste to energy from municipal and non-municipal solid waste and sewage treatment facilities; • Small wind generation for non-grid applications, and • Other alternative fuel sources for low cost housing, space heating, cooking and water heating.

9. MANDATE OF THE WORKING FOR ENERGY PROGRAMMEEnergy Saving Initiatives • Energy management planning and methodology framework for social facilities, homes and SMME businesses, including solar passive design; • Thermal efficiency and energy management for the development and installation of biomass insulation and other materials for application in poor or rural households, subject to SABS approval; • Energy management planning methodology and framework for the provision of energy (and water saving technologies, water loss management and leakage monitoring and control as part of energy saving initiatives). • Research studies for energy poverty eradication, sustainable feedstock provisions and alternative fuel sources for low cost housing’s low carbon space heating, cooking and water heating. • Working for Energy Outreach

10. BUDGET OF THE PROGRAMME

11. ORIGINAL WORKING FOR ENERGY PROJECTSIncentivised Projects Until 2012/13

12. CURRENT WORKING FOR ENERGY PROJECTS2013/2014 onwards

13. CURRENT WORKING FOR ENERGY PROJECTS

14. WORKING FOR ENERGY INITIATIVE(Partnerships) • SANEDI-SDC • Joint Funded Project • Research into the availability, feasibility and sustainability of renewable energy resources and energy saving measures to address identified energy poverty and proposed interventions.

15. WORKING FOR ENERGY INITIATIVE(Partnerships) • SANEDI-National Development Agency (NDA) Partnership Contract Signed • Development of a partnership to provide food-energy nexus in public and community based projects

16. WORKING FOR ENERGY INITIATIVE(Partnerships) Cont’d

17. WORKING FOR ENERGY INITIATIVE(Partnerships) • SANEDI-Gauteng Department of Infrastructure Development Partnership • Greening of Schools four new schools in Gauteng Province • Greening of the Father Smangaliso Mkhatshwa Youth and Child Centre • Future Partnerships • Greening of refurbished schools • Greening of clinics • Green Transport • Waste to Energy • Solar Roof tops • Fuel Substitution

18. WORKING FOR ENERGY AWARENESS, CAPACITY BUILDING AND SKILLS DEVELOPMENT • The working for Energy Programme is part of the EPWP, and must fulfil the following objectives: • Promotion and advocacy of green technologies • Skills development • Job Creation • and empowerment of vulnerable groups (Youth, women and people with disabilities). • In future, the Working for Energy Programme will also look at : • Collaboration with INEP to determine suitable new and renewable energy options for hot and arid areas such as the Northern Cape; • Green Village Initiatives • Waste to Energy Options • Solar Refrigeration • Solar PV paints

19. CHALLENGES • Big gap in the budget allocation of the Programme creates a number of challenges • Limited Retentions of staff • Expansion of staff • Inability to leverage and form partnerships with organisations in the poverty alleviation space. • Lack of Regional Presence • Small and isolated projects in remote areas need constant and continuous engagement from the introduction of the concept, through project implementation and project support and maintenance; • Service providers in remote rural areas need time to be developed, institutional and technical support, training and skills development in order to support and implement the Working for Energy Projects and thus create jobs and sustain themselves. • Lack of economical suitably qualified technology suppliers in rural areas. • Prohibitive unit cost of intervention in low economies of scale interventions • The unit cost for application of proven technologies in respect of once of unitary projects in deep rural areas is prohibitive. • Demonstration project need operational support/ budget due to low returns due to low or no economies of scale • Procurement of High Technology interventions for rural areas attracts tends to attract few and normally expensive service providers • Selection and training of locals to support projects, once established need time and must be integrated in the procurement process

20. CONCLUSIONS • There is a need for the Department of Energy to create certainty in SANEDI as to the sustainability of the Working for Energy Programme in terms of funding. • SANEDI need to establish a robust internal team to drive the process • Donor funding and partnerships have their limited role. • Working for Energy will naturally have many small and diverse projects across the country. Its capacity to undertake contract management, procurement management, monitoring and evaluation and post implementation support needs to be underscored. • Working for energy projects have a mix of technology development, demonstration and application. These phases will manifest almost in all projects being implemented. • The work with universities and other research institutions such as: • Agricultural Research Council • Water Research Council • International Research Institutions

21. CONCLUSIONS C (Cont’d) • There is benefit for SANEDI to form partnerships with organisations mandated to undertake rural development and poverty alleviation, such as: • National Development Agency • Departments of Agriculture and Rural Development • Department of Infrastructure and Development • Departments of Human Settlements, etc • To this end, stakeholder management and engagement will form a notable part of the Programme architecture • It needs to be noted that even of the Working for Energy Programme falls under the “Working for” Programmes, it is capital intensive and the yields of jobs and skills development cannot match those of other programmes in the Environment and Culture Cluster.