Quality Assurance in World Bank-Funded Photovoltaic Projects

1. Special Event Photovoltaic for Development – Ensure Highest Quality for Sustainability and Scale Up 21st European Photovoltaic Solar Energy Conference and Exhibition Messe Dresden, Germany September 7, 2006 Quality Assurance in World Bank-Funded Photovoltaic Projects Anil Cabraal Lead Energy Specialist Energy and Water Department The World Bank

2. Outline • World Bank PV Project Portfolio • Approaches to Quality Assurance • Lessons Learned

3. WBG Photovoltaic Projects Serving >1,43 million HH + Facilities ~7.5 million persons ~64 MWp 31 Countries Total Value: ~$776 million 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 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 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

4. Type of Applications • Solar home systems – Dominant application • PV systems for rural enterprises • PV systems for schools and clinics • PV water pumping • Grid connected PV

5. Evolution • Many PV projects in 1980s failed, due to a variety of factors, including technical: Component, design, qualified technical support, lack of access to spares, inadequate consumer knowledge, misinformation • World Bank PV investments begin ~1995 • Only few technical specifications were available then • Projects had to issue project-specific procurement specifications for components, systems, installation. • Other agencies also began addressing this constraint: By 2001, about 90 different standards! • In 1997 Peter Varadi forms PVGAP to bring order to chaos!

6. Ensuring Quality • Setting technical product and service standards • Building capacity to meet standards and improve service • R&D for quality improvement • Testing center capability strengthening • Monitoring and enforcement

7. Adopting Standards • To extend possible, use internationally recognized standards – e.g., IEC, PVGAP • Need to address concerns of eligibility of locally made components • Must require comparable performance to IEC or PVGAP or equivalent • Give opportunity to improve performance/quality • Give opportunity for testing and certification at qualified laboratory • Results: No difficulty finding qualified products. But, very limited availability of products with PVGAP mark or seal. • Issue: Certification alone is inadequate quality must be maintained!

8. Setting Procurement Specs:Guidance to Bank Staff • Encourage countries undertaking Bank-assisted PV projects to comply with: • Photovoltaic quality labeling programs, e.g., PV GAP • International consensus standards – IEC,  ISO, or similar from organizations with international standing, or PVRS specifications when international consensus standards not available • Conformity Assessment Certificate issued by  IECEE-PV; or in the absence of (a), (b) or (c) • National-level standards or project-level procurement specification  as deemed appropriate by local authorities

9. Assuring Quality • Quality at entry is easier. Quality enforcement is tougher • Other requirements: • Warranties, buy-back agreements, performance bonds • Require service centers staffed by trained staff and accessible to consumers, stocked with spare parts • Consumer information • Incentives: • Strengthening testing & certification center capabilities • Assistance in national standards development/improvement • Cost sharing of testing/certification services • Technology improvement grants • Technical assistance for service improvement and training

10. World Bank Support Examples • Quality Program for Photovoltaics http://www.worldbank.org/astae/qpp/ • Setting standards – Sri Lanka, China, Indonesia, Philippines, Mozambique, Laos, PVGAP collaboration… • Strengthening PV testing capabilities • China PV module and battery testing • Indonesia BOS testing • ISO 9000 training for PV/BOS manufacture– India, China, South Africa, Philippines • Market Development Support Facility cost-shared grants – Philippines, China • Technology Improvement Program cost-shared grants – China • Facilitating access to international markets – Indonesia, China • Consumer outreach IMPORTANT: MUST BE CONDUCTED WITHIN A PV MARKET DEVELOPMENT/SUPPORT PROGRAM – NOT IN ISOLATION

11. Enforcing Quality • Enforcement mechanisms: • Batch testing of key components • Field inspection of installations and field surveys • Random samples collected from outlets/warehouses & retested • Consumer education • Respond to consumer complaints • Results: • Quality in general has been good and improving • Enforcement is expensive • Companies have greater appreciation of quality – reduces costs, increases market share, creates export opportunities • Where problems detected, cancel participation and impose penalties – publicize!

12. Summary • Need to constantly emphasize and pay attention to product and service quality • Help customers recognize good quality and its value • Enforcement is important but so is giving the means to improve and maintain quality

13. http://www.worldbank.org/projects http://www.worldbank.org/re http://www.worldbank.org/retoolkit For more information…