Making a difference in Asia and the Pacific

 

IFAD


Issue 15 - March/April 2007

Energy for sustainable development

In this issue

 

Message from the director of the Asia and the Pacific Division

Broad and reliable access to energy reduces rural poverty through increased agricultural and labour productivity. In this way, it also sustains high aggregate growth while making development more inclusive.

Social benefits of energy access are also significant. Electrification in poverty stricken areas (rural and slum areas) powers access to information technology (radio, television, telephone) and leads to higher educational achievement. Personal security improves with street lighting. ‘Cleaner’ energy reduces incidence of respiratory diseases by containing indoor air pollution. Modern energy technologies help reduce women’s workload and drudgery related to collecting fuel, fetching water for domestic needs and processing food.

Energy security has come forward on the agenda of most governments in Asia and the Pacific. This increased attention relates to:

  • trade balance, monetary and fiscal policy implications of increasing and volatile prices of growing volumes of fossil-fuel imports
  • the dependence of industry and other modern sectors of the economy on imported energy from non-renewable sources, and concomitant risks for employment security and the sustainability of the chosen development model
  • environmental and public health concerns related to the excessive use of energy by old and energy-inefficient machinery inventories
  • poverty reduction opportunities inherent to the ‘right’ energy policy options – including choices that promote rural energy by the rural producers for the poor rural consumers.

In a context of inclusive sustainable development and its requisite pro-poor energy policy choices, biofuels hold the promise of one such encompassing pro-poor energy policy avenue.

Biofuels create employment and income all along the value chain: the primary producers of biomass and biofuel crops in agricultural areas; the processors in rural areas; and the decentralized energy-service providers. Local energy supply in turn powers agricultural and transport equipment, which is particularly important for producers who are off the power-grid or connected to unreliable power supply. Women benefit from the labour-saving, employment creating and income-generating impact of rural energy provision.

A study for the Millennium Project attributed the strong poverty reduction performance of China to the extensive network of and access to decentralized rural electrification models.

The environmental benefits of biofuels are considerable. Some of the plants help reclaim degraded wastelands and provide soil- and water-friendly options for production in remote and fragile agricultural areas. Moreover, biofuels used in transportation are clean-burning. Biofuel production also generates considerable savings in foreign exchange and earnings from local, national and regional trade in biofuel feed stocks to meet surging demand for transport fuels.

Finally, carbon credits can be accrued through clean development mechanisms (as per Kyoto Protocol) and constitute potential additional income for poor rural communities providing environmental services.

In partnership with others and supportive of country-owned initiatives, IFAD assists in the development of rural energy systems and biofuel production. Investments in productivity research seek to make biofuels more price-competitive vis-à-vis other fuels, both at the production and the processing stages.

Socio-economic enquiry looks into rural organization and rural community models that best manage such decentralized rural energy development approaches. Adaptive research and integration of biofuels in investment programmes seek to address the trade-off between biofuel production, food security and animal feed requirements.

Policy analysis and dialogue for policy change seek to scale up the knowledge acquired from research and investments into pro-poor energy policy choices that benefit all citizens. The articles in this newsletter illustrate IFAD’s engagement in this area.

Thomas Elhaut, Director, Asia and the Pacific Division

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Helping poor rural households benefit from the growing biofuel market

Many farmers are using animal waste to produce biogasA US$250,000 programme titled Strategies and Options for Integrating Biofuel and Rural Renewable Energy Production into Rural Agriculture for Poverty Reduction in the Greater Mekong Subregion (GMS) was approved by IFAD’s President in December 2006. The programme will seek to ensure that poor rural households in GMS countries reap the benefits of the growing market for biofuels. The combined IFAD/ADB effort will benefit households in remote and ecologically fragile areas.

The programme, financed by an IFAD grant of US$200,000 and an ADB grant of US$50,000, will cover all GMS countries. The programme aims to develop:

  • an interim strategy to support the emerging biofuel subsector and that addresses policy, technological, institutional, market, and social and environmental issues
  • local, national and subregional strategies and interventions that would steer developments in biofuel crops and rural renewable energy towards reducing poverty among resource-poor farmers and poor rural households
  • a model for optimum use of biofuels that can be applied in local, national and subregional strategies for harnessing their benefits and scaling up successes

The programme expects to deliver the following outputs:

  • analysis and projection of demand and supply trends for biofuel/bioenergy and their substitutes at the subregional, national and local levels
  • analysis of market potentials for different biofuel/bioenergy products
  • development of pro-poor strategies and options for the GMS countries to support the emerging biofuel subsector
  • design of national strategies for pro-poor, farmer-centred biofuel development and a framework for optimum use of biofuels
  • recommendations for a follow-up phase to guide IFAD, ADB and other organizations in further supporting the development of biofuel for rural poverty reduction
  • guidelines on pro-poor, farmer-centred biofuel development approaches that would lead to the development of alternative sources of livelihoods, improved access to energy for both domestic and farming purposes and consequently better quality and standards of living for poor rural people.

The GMS Working Group on Agriculture Secretariat will be the programme implementing agency. The following agencies in GMS countries will assist in implementation:

  • Cambodia – Ministry of Agriculture, Forestry and Fisheries
  • Lao People’s Democratic Republic – Department of Planning, Ministry of Agriculture and Forestry
  • Myanmar – Department of Agricultural Planning, Ministry of Agriculture and Irrigation
  • China – Department of International Cooperation, Ministry of Agriculture
  • Thailand – Foreign Agricultural Relations Division, Office of  the Permanent Secretary, Ministry of Agriculture and Cooperatives; and the National Science and Technology Development Agency
  • Viet Nam – International Cooperation Department, Ministry of Agriculture and Rural Development

Martina Spisiakova, Newsletter Coordinator

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Lighting up Xinjiang through solar power

Xinjiang Uygur Autonomous Region in China has the second highest number of sunshine hours in the country. As such, the region is one of the most promising solar energy investment areas in China. Last year, IFAD’s Executive Board approved the US$55 million Xinjiang Uygur Autonomous Region Modular Rural Development Programme, which will include the promotion of renewable energy sources.

The number of sunshine hours in Xinjiang reaches between 2,600 to 3,600 per year (on average between seven and ten hours per day). Nevertheless, solar energy has not been widely used. Fossil energy sources such as coal and wood have been used instead. Some villages still use candles for lighting.

Besides supporting agricultural activities, one of the programme’s initiatives will be the promotion of renewable energy sources. The programme will implement stand-alone home solar systems in poor remote households and, where feasible, will implement grid-connected home solar systems.

 

Grid-connected system

 
 

A grid-connected system allows home or small businesses to be powered with renewable energy during periods when the sun is shining, the water is running, or the wind is blowing. Any excess electricity produced is fed back into the grid. When renewable resources are unavailable, electricity from the grid supplies households’ needs, thus eliminating the expense of electricity storage devices like batteries.

Source: U.S. Department of Energy, Energy, Efficiency and Renewable Energy

The estimated cost of the solar module is about US$183,250, which covers the installation of 200 solar systems, their maintenance and training of project staff. Each household would contribute about US$200 toward the purchase and installation of the system. The module will be implemented in Hami and Kashi prefectures of Xinjiang.

Villagers are excited about the new development in their area. One farmer said: “I was ten years old when Xinjiang Uygur was liberated. Now 50 years have passed.  I cannot imagine that I will be able to use electric lights before I die. I am honoured to thank our government that keeps supporting our poor people.”

If successful, this innovative programme will provide an option for the local government to address the electricity problem that poor peasants in remote locations face on a daily basis. Moreover, the programme experiences could prove beneficial to other Asian countries, including Afghanistan, Kyrgyzstan, Pakistan and Tajikistan, where conditions for investing in solar energy are similar to those in XUAR.

Shen Bin, Programme Assistant, IFAD China & Mongolia Subregional Office

Read more about:
Rural poverty in China

Read the article in the Chinese language

新疆可再生能源模太阳能的利用

在中国,新疆是我国日照时数最多的地区之一,仅次于青藏高原。这里日照时间长,光资源丰富,全年日照2600~3600小时,和内蒙、青海是最具风能和太阳能开发潜力的地区。尽管如此,太阳能并未普及,实际上电力还是靠水力和热力,而热力多使用煤,有些村庄甚至用蜡烛照明。

农发基金在中国新疆的农村发展模式项目的可再生能源模块支持介绍太阳能并网发电系统,并且为偏远山区无电网覆盖区贫困户提供家用太阳能系统。该模块预算为人民币147万元(183,250美元),其中包括200个系统的安装、培训和维护。农户要拿出1500元人民币用于系统购置和安装。项目实施期为6个月,在哈密和喀什实施,而在和田,每一模块有30家装配高压输电线路网连接系统。

该模块的执行使太阳能在项目区广泛应用,不仅对农村基础设施建设和当地经济发展起到很大的推动作用,而且可以促进当地旅游和加工行业的发展,提供当地很多的就业机会。村民们朴实的语言可以表达他们的心情,一位七十多岁的柯族老大娘说:“电站建成,我能在家里看上电视,这等于我第二次‘解放’。”一位六十多岁的老大爷说:“解放那年我10岁,现在已经六十多年了,我以为死前用不上电灯了,谁知道还能赶上这好时光,感谢党、感谢政府惦记着我们。”

项目的成功经验将给当地政府如何解决当地的用电问题提供一个良好的示范,而且由于项目区的地理地貌和经济发展现状与中亚地区(吉尔吉斯斯坦、塔吉克斯坦、巴基斯坦、阿富汗等国)非常相似,还将给这些地区提供有益的经验。

沈彬
项目助理
农发基金北京联络处

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Bringing ‘natural’ light to remote households in China 

The West Guangxi Poverty Alleviation Project, cofinanced by the World Food Programme (WFP), IFAD and the Government of China, has brought biogas light to almost 30,000 households in the country. As a result, the living conditions in project villages have improved significantly and  about 7,500 hectares of forest can recover.

To address the problem of rural energy, the IFAD-supported project designed 22,500 biogas tanks for poor rural households in 2002. By 2006, the project had exceeded its target by providing 22,649 biogas tanks and helping 29,569 households in 3,176 natural villages of ten project counties. As a result, 56,600 tons of firewood can be saved in the project area every year, equivalent to the recovery of 7,470 hectares of forest.

 

Levels of local organization in China

 
 

There are several levels of local organization in China. The smallest unit is the village. Although a 'natural village' is a long-standing separate settlement, it is not a unit of the government. The administrative village (commune) is an official unit defined for administrative purposes, frequently including several natural villages. Communes typically have leadership and committee structures that attend to community issues and interact with senior government agencies, but they have little administrative autonomy. Above the commune is the township, which is the lowest level of formal public administration. The level above townships is the county, which in many respects is the most powerful unit of local government. In China, a county may include rural and urban settlements, and have a population of well over one million. Above the county is the prefecture, followed by the province.

Source: IDRC

Biogas units turn human and animal waste into a mixture of methane and carbon dioxide gases that can be used for lighting and cooking. Each household builds its own biogas tanks to channel waste from the domestic toilet and nearby animal shelters into a sealed tank. The human and animal waste ferments and converts into gas and compost, leaving improved sanitary conditions at home.

The use of biogas brings many benefits to households and villages, and provides incentives for them to adopt this technology:

  • The living conditions and the environment improve.
  • Forests are protected.
  • The labour force has more time for agriculture production.
  • A large amount of straw, which was burned before, is now put into biogas tanks to ferment in order to reduce air pollution from the smoke and to produce high-quality organic fertilizer.
  • In order to collect waste, farmers now raise their livestock in stalls, which greatly improves hygiene conditions in and around the house.
  • The fermentation of human and animal waste and crop straw kills parasite eggs and infectious bacteria which can be harmful to human health.

Because of the benefits of biogas in meeting rural energy needs and protecting the environment, biogas tanks are being constructed in other areas of Guangxi. To date, 2.73 million biogas tanks have been built in villages, benefiting about 34.2 per cent of the rural households in Guangxi. It is estimated that 7.65 million tons of standard coal and 13.40 million tons of firewood are saved annually in Guangxi because of the use of biogas.

Liu Dianzheng, Director, Project Management Office, West Guangxi Poverty Alleviation Project

Read more about:
Rural poverty in China

 

Case study

 
 

Mingqiang Li is a poor farmer living in Moling Natural Village on the border of Guangxi Zhuang Autonomous Region. He and his family – mother, wife and two children – make their living on 0.13 hectares of dry land and 0.03 hectares of paddy field in the uplands. There are many other villagers living in remote and rocky mountainous regions. The environmental conditions only allow them to plant crops in the spaces between the stones.

Before 2002, inhabitants of these villages had to get by without a decent daily meal for nearly six months out of each year. The situation changed after the implementation of the IFAD-supported West Guangxi Poverty Alleviation Project. The project helped villagers build biogas tanks and taught them improved pig-raising techniques.  

The biogas tanks brought new hopes to the lives of poor villagers. Before the project started, they had to cut firewood and straw for cooking. As the firewood became scarce, everyday they would have to go further away from the village to the hills, spending half a day just to collect firewood. 

The tank produces enough biogas to meet the daily energy requirements of the whole family. It also brings many other benefits.

An assessment of households supported by the project shows that the use of biogas can save about US$37.5 per year per family and between 90 to 120 working days for each person collecting firewood and straw. Furthermore, cooking by biogas is faster than cooking by firewood. It can save two hours of labour for farm work, representing a total of 110 saved working days per year.

Cooking by biogas in Mingqiang Li’s family can also reduce the amount of cut firewood by 2,500 kg per year. The reduction is equivalent to a 3,300 m2 forest area. In addition, residues in the biogas tank can serve as organic fertilizer. Mingliang Li applies it when planting crops and vegetables. This reduces his costs for purchasing chemical fertilizers and helps preserve the environment. With the money he saves, he can buy more food and vegetables for pig raising, from which he earns additional income. For six pigs Mingliang Li can earn about US$500. After a biogas tank is built, people live separately from livestock and the kitchen is far cleaner and brighter than before.

The second of the two tanks is an irrigation tank next to Mingliang Li’s land. Before the project, there was no tank to collect rainwater, hence the land was very dry. After the tank was built, there was always enough irrigation water. As a result, the maize grows well and the family is able to harvest three times more (about 600 kg) corn than before. The family no longer suffers from hunger.

There are many other similar stories in the project area.

Liu Dianzheng, Director, Project Management Office, West Guangxi Poverty Alleviation Project

 

Read the article in the Chinese language

中国,广西省沼气帮助农民脱贫并促进经济环境发展

黎明强是广西壮族自治区南丹县的一个贫苦的农民,他的家中除了他还包括他的母亲、妻子和两个孩子共5口人。家里有0.13公顷的旱地和山上的0.03公顷稻田。2002年以前,他们家几乎有半年的时间要挨饿。像他这一代的人居住在这样一个穷乡僻壤的山区也只能从石头的间隙中勉强种些庄稼。但是,他的家和这个地区的其它家庭自广西省2002年执行了农发基金桂西扶贫项目后发生了翻天覆地的变化。

一个是项目办帮助建的60立方米的地头水柜。这地头水柜就建在他家那2亩旱地旁边。以前虽然老天常下雨,但没有水柜蓄水,地里旱得很。有了水柜,水柜里蓄满了水,足够那2亩地灌溉用水了。当年种下的玉米有了足够的水,长得很好,一年下来打了600多公斤的玉米,相当于以前三年的产量。从那一年起他们一家再也没有饿过肚子。

另一个池子是2003年桂西项目扶持建的沼气池。生活在这大石山中的村里,他们一家以前都是靠砍柴割草来做饭,本来这石山树木就少,越砍越少, 只能到更远的山上去砍,一天得花半天的时间去砍柴割草。2003年,项目办帮助他们家建了一个8立方米的沼气池,还教会他们科学养猪。沼气池产生的沼气不仅足够他们5口之家的生活用气,还给黎明强一家带来了意想不到的实惠。项目办的同志和他一起算了算帐,使用沼气后每年可节省柴草费用约300元,节省一个劳动力上山砍柴90-120天。沼气做饭比烧柴草快,一个劳动力一天可延长田间耕作2小时,一年110天。使用沼气做饭,每年可为他家节约燃柴达2500公斤,相当于保护了3300平方米山林。同时沼渣是一种高效无害有机肥料,黎明强用沼渣来种田、种菜。沼渣可以降低化肥农药施用量,减轻污染,也减少了他种田的肥料投入。种田多余的粮食和菜他用来养猪,一年可以出栏6头猪,收入4000多块钱。原来是人畜混杂的家,现在基本实现了人畜分离;原来做饭烟熏火燎的厨房,现在变得干净了。

这样的故事在桂西项目区很多很多。
  
桂西项目总体计划建设沼气池22500座,现已累计完成沼气池建设222649座.覆盖10个项目县的3716个屯,29569户农户直接从中受益。使项目农户用上清洁、卫生的沼气,不仅解决了烧水、煮饭等日常用能需求,节约薪柴5.66万吨,相当于保护11.2万亩山林。

天峨县纳直乡下景村巴岸屯是一个有着22户人口的贫困偏远山村,自从实施桂西项目后,村里户户都建起沼气池,夜幕来临时原来漆黑的山村有了光明,沼气灯照亮着每家每户。
  
有了沼气池,节约过去农民拣柴的大量劳动力,投入到农业生产第一线上去;过去被烧掉的大量农作物秸杆都可以加入沼气池密闭发酵,既减少了烟雾对空气的污染,又沤制成了优质的有机肥料,扩大了有机肥料的来源。以前从来不圈养的禽畜现在为了方便收集其粪便,大家自觉圈养,人畜粪便、秸杆等经过沼气池密闭发酵,消灭寄生虫卵等危害人们健康的病原菌,村里的卫生环境得到很大的改善。沼气解决了农民的燃料问题,减少对森林的砍伐,有利于保护林草资源,促进植树造林的发展,减少水土流失,改善了山村的生态环境。

鉴于沼气对解决农户生活用能和对保护生态环境的重要作用,以沼气为重点的农村能源建设在广西大力推广。目前,整个广西已建设农村沼气池273.71万座,沼气池入户率达34.21%每年可为广西节约能源765万吨标准煤,节约薪柴1340万吨。

农发基金桂西扶贫项目办公

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Maintaining and managing biogas tanks through local associations

The implementation of biogas tanks in Guizhou province, supported by IFAD through the Wulin Mountains Minority-Areas Development Project, showed that many households do not realize that sufficient time needs to be devoted to maintaining and managing biogas tanks. The project addressed this issue through the establishment of rural biogas tanks maintenance associations.

The Wulin Mountains Minority-Areas Development project is another example of IFAD’s support to biogas in China. Using biogas tanks, project households re-built their toilets, kitchens and pig sties, which improved their living and working conditions. However, within three years of installation, some of the tanks had deteriorated and could no longer be used. The project management office addressed the problem by setting up Rural Biogas Tanks Maintenance Associations (Biogas Associations), which provide technical services and training to their members.

By the end of 2006, the associations had developed quickly. So far, a total of 63 associations have been set up, with 7,763 members. Of these, 173 members received a certificate to use the biogas and 98 per cent are actual biogas users.

 

 

 
 

The biogas association keeps our biogas always burning. The longer it burns the richer we will get,” say many project participants.

 

 

The associations manage themselves and their annual membership fee is US$3.9. They provide members with the following services:

  • Guidance and safety information on biogas use
  • Maintenance of biogas tanks
  • Sales of biogas tank fittings at a low price (before the associations, households were buying fittings for a higher price from other villages)
  • Lending of relevant technical books and CDs
  • Hotline for queries and complaints with a guaranteed maximum two-day response time

Data from Tongren area of Guizhou Province show that through the use of biogas the province has saved over RMB400,000 yuan (equivalent to about US$51,700) and preserved over 200 hectares of forest. Increased financial support could help the province improve the biogas system and expand it to other areas.
 
Wang Haijun, Programme Officer, Wulin Mountains Minority-Areas Development Project, Guizhou Province, China

Read more about:
Rural poverty in China

Read the article in the Chinese language

中国,贵州沼气协会对会员的支持作用

随着农村沼气池建设项目的大规模实施,高效、清洁和廉价的沼气能源早已为人们所共知。通过建沼气池带动农户改厕、改厨、改圈,农户的生产、生活条件随之得到较大的改善,农民也尝到甜头。可是沼气池的后续管护还是一件新事物,部分建池户对沼气池“三分建、七分管”的认识不到位,他们没有按沼气池的使用管理规范来管理沼气池,更有甚者认为沼气池修好后是“一劳永逸”的事,第一次进料使用后,就再不进行管理,致使部分沼气池随着时间的推移就出现了沼气池“一年好,二年差,三年不产气”的怪现象。针对这些问题该谁来管?怎么管?如何才能保证沼气池长期正常运行?这是我们一直探索的课题。最终,我们建立了农村沼气后续管护协会,简称“沼气协会”,它为会员提供技术和培训服务并拥有自己的宗旨。

2005年3月,项目办在实施农发基金在贵州的武陵项目中,开始尝试把参与式培训机制与沼气维修服务站组装起来,经过对6671个沼气户与维修服务站的技工一起进行沼气运行维护的参与式培训,产生了“沼气协会”。协会自那时起协会得到了快速发展,项目区现已有沼气协会63个,会员发展到7763人。其中有173人经过培训取得了国家颁发的沼气生产工资格证书,98%的会员都是当地的沼气户。各级能源办定期对协会技术员、会员进行培训,协会技术员也针对实际问题对会员进行技术培训。

这些协会都是沼气户自愿组成的自助协会,章程性质是“自我管理、自我服务”,遵循“民办、民管、民受益”的原则,实行加入自愿,退出自由,自愿互利的民主管理。协会的宗旨是为会员提供沼气后续服务,确保沼气池的长期正常使用,发挥沼气的使用效益。所提供的服务有沼气的使用、管护、安全知识等技术指导和咨询;故障维修;指导会员除渣清池;优惠供应会员沼气配件;无偿借阅农村沼气技术书刊、光碟。协会安装了热线电话,接听会员的疑难问题、投诉,保证在两个工作日内及时回复会员,解决问题。会员只需每年交30元会费便可得到全套服务。

通过协会这个平台,把分散的建池户结合起来,使其相互交流,解决了一家一户在日常使用沼气中出现的各种问题。使沼气维修,购买配件不出村,使每个建池农户感到“建池安心,用气放心”。这就是沼气协会最大的成功。在黄道乡红星村,2003-2005年间建有沼气池512口,协会建立前约有32%的沼气池管路配件存在不同程度的问题,其中有19%的沼气池已停止使用,在红星村挂牌成立的维修站也只有极少数农户前来咨询和维修。自从协会成立至今,90%的沼气池都进行了例行检查和维护,会员户100%地用上了沼气。广大会员通过这个平台还学到知识,也学到经验。一遇问题就有技术员检查维修,二次三次遇到同样的问题就能自己处理了。所以现在农户常说:“是协会让我们的沼气永不熄灭,蓝色的沼气之火越烧越旺”。特区每年也将从提高的沼气使用率中节约能源支出40万元以上,减少森林砍伐200公顷。此举若能取得足够的资金支持,必将极大地促进全区沼气建设进程,推动沼气产业发展。

文章选自中国,贵州省铜仁地区IFAD/WFP项目办

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Reducing dependence on fossil fuels in the Greater Mekong Subregion

How can alternative sources of energy reach poor rural people and reduce their dependence on fossil fuels? This was one of the topics taken up at the fourth meeting of the Working Group on Agriculture in which IFAD participated. Led by the Asian Development Bank (ADB), the Group met from 6 to 8 December 2006 in Siem Reap, Cambodia under the overall theme Strengthening strategic partnership for accelerated agricultural development and poverty reduction’.

 

Glossary

 
 

Biofuel is any fuel that is derived from biomass — recently living organisms or their metabolic byproducts, such as manure from cows. It is a renewable energy source. Like coal and petroleum, biomass is a form of stored solar energy. The energy of the sun is captured through the process of photosynthesis in growing plants. Biofuel is biodegradable, and so relatively harmless to the environment if spilled.

Biogas typically refers to a (biofuel) gas produced by the anaerobic digestion or fermentation of organic matter including manure, sewage sludge, municipal solid waste, biodegradable waste or any other biodegradable feedstock, under anaerobic conditions. Biogas is comprised primarily of methane and carbon dioxide. It can be used as a vehicle fuel or for generating electricity. It can also be burned directly for cooking, heating, lighting, process heat and absorption refrigeration.

Biodigesteris a machine used for the production of biogas, a mixture of gases created by methanogenic bacteria digesting organic matter in an anaerobic condition. A biodigester is often also referred to as a biogas chamber, a biogas plant or an anaerobic reactor.

Energy crop is a crop grown specifically for its fuel value.

Rural renewable energy is a viable alternative to fossil fuels that is both environmentally sound and socially empowering.

Source: Wikipedia

The fourth meeting of the Working Group on Agriculture is part of a series of meetings and workshops designed to improve subregional collaboration to reduce poverty in the Greater Mekong Subregion (GMS). Through partnerships, the Working Group aims to promote agricultural trade, food security and sustainable livelihoods. Delegations from all GMS countries – Cambodia, People’s Republic of China, Lao People’s Democratic Republic, Myanmar, Thailand and Viet Nam – attended the meeting along with representatives from regional bilateral and multilateral organizations, including IFAD, the private sector, individual experts and consultants, and ADB.

Panel discussion on rural renewable energy

“About 50 million out of 300 million people living in the GMS have no access to network electricity,” said Sar Chetra, Acting Chief of the Animal Production Office, Department of Animal Health and Production, Ministry of Agriculture, Forestry and Fisheries, Cambodia. “They therefore continue to rely on traditional fuels which are highly inefficient, inconvenient, costly and harmful.”

The meeting’s panel discussion on rural renewable energy focused on how to ensure that alternative sources of energy reach poor people and reduce their dependence on fossil fuels. Biogas from animal waste and biofuel from energy crops, in particular, can have enormous potential to reduce poverty. In his presentation, Thomas Elhaut, Director of IFAD’s Asia and the Pacific Division, drew specific attention to:

  • linkages between the Millennium Development Goals and access to local decentralized energy supply systems
  • upward trends in investments in clean energy, related business opportunities and research, and their implications on pro-poor energy production and poverty reduction
  • the importance of processing technologies that promote economies of scale
  • energy sources that require minimal modification and adaptation of existing equipment and engines
  • policy perspectives on decentralized energy supply systems, and policies concerning the competition between food production and energy production and the competition for land
  • the importance of technology transfer and information transfer networks

Mahfuzuddin Ahmed, Senior Project Economist, ADB, concluded the panel discussion by pointing out that biofuels offer a win-win-win-win situation – for the environment, poor rural people, countries’ energy security, and governments. “The GMS agriculture cooperation strategy must help the GMS countries fulfil the promise of biofuels and address challenges related to gaps in technology, policy and capacity,” he said.

Making significant investments is the way forward. Nevertheless, ADB recognizes that before investments are made, there is a need to:

  • thoroughly assess market potential
  • identify, test and develop technologies
  • extend policy support to assist GMS countries at national and regional levels

Mr Ahmed also noted a lack of cost-competitive information and revenue projections for investments in biofuels. In this regard, there are ongoing consultations between IFAD and ADB on a private investment fund for biofuels as a part of the GMS Core Agriculture Support Program (CASP).

A two-pronged strategy was proposed to:

  • assess the market through national-level consultations
  • organize a forum to examine policy issues and the capacity of smallholders to respond to the emerging trends in the renewable energy sector

Governments are interested, but need resources

Many governments are aware of the benefits of biogas for the rural population and are taking initiatives to integrate biofuels into their national energy policies.

Sar Chetra, Acting Chief of the Animal Production Office of the Department of Animal Health and Production in Cambodia, emphasized the commitment of the Government of Cambodia to make the technology available to more rural people. The greatest obstacle, however, is the cost.

The government needs support not only in the form of financing, but also community regulations and forest management, promotion of livestock production and sustainable agriculture, and technology transfer.

The benefits of biodigesters

Since 2004, Cambodia and Lao People’s Democratic Republic have been receiving technology and training support on biogas through the GMS cooperation in agriculture and the CASP. An example is the Chinese-modelled biodigester, based on the digestion of organic wastes – mainly animal wastes from pigs or cows. It is generally problem-free and requires low maintenance. Small farmers adopt it readily because of its many benefits. When they use a biodigester, they eliminate smoke in the house, save time because they don’t have to gather firewood and cooking is quicker, and also save the money that they would spend on buying fuelwood.

Strategic directions for agricultural cooperation in the GMS

 

Core Agriculture Sector Program (CASP) comprises four core programmes

 
 

Cross-border Agricultural Trade
GMS Knowledge Network
Capacity Building in Agriculture
Emergency Response to Agricultural Crises

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The fourth Working Group on Agriculture produced a revised Draft Strategic Framework for the GMS Cooperation in Agriculture and the CASP for 2006-2010. The Strategic Framework and CASP are expected to be endorsed by the ministers of agriculture of the GMS countries at the Ministers’ Meeting set for April 2007 in Beijing.

The Working Group on Agriculture is committed to mobilizing resources to implement the CASP. “Without resources, an agricultural support programme is meaningless,” said Urooj Malik, Director of the Agriculture, Environment and Natural Resources Division, ADB. Programme priorities also have to be determined. “It would be ideal if the priorities matched those of the countries involved. For this, it is important that countries speak for themselves,” he pointed out.

What are the implications for IFAD?

Bioenergy commodities are opening up markets that provide new options for poor rural people to lift themselves out of poverty. IFAD is committed to working together with ADB and other partners in implementing the CASP. It will support appropriate strategies and options that can drive and channel the development of the rural renewable energy sector towards reducing poverty among poor rural households.

IFAD benefits significantly from participating in the Working Group on Agriculture and related meetings. These fora enable IFAD not only to strengthen its partnership with ADB and other organizations, but also to acquire the knowledge needed to make future investments in the bioenergy sector.

Through its loan and grant-financed programmes, IFAD is increasingly engaging in activities that support rural renewable energy in the Asia and the Pacific Region.

Martina Spisiakova, Newsletter Coordinator

Alternative energy – combating climate change

In many countries over the past several years, interest in renewable energy, and particularly biofuels, is on the rise. For instance, the European Commission has decided to emphasize greater reliance on renewable energy, with a major focus on biofuels. In light of the recent report of the Intergovernmental Panel on Climate Change (IPCC), this interest is extremely timely.

The fourth assessment report of the IPCC published in January 2007 makes a very strong case for human activity as the primary cause of climate change. Predictions on the change in temperature over the next century continue to provide reasons for serious concern. Reducing fossil fuel use and carbon emissions point to new opportunities and needs for research and development, and bioethanol and biodiesel production are high on this list.

The increased interest in biofuels is controversial

There has been much debate about the true net energy and carbon balances of both bioethanol and biodiesel production. Some studies of production systems in the United States suggest that bioethanol from maize and biodiesel from soybean consume more fossil fuel energy than the energy produced and thus do not reduce carbon emissions. Other analyses have produced contrasting figures.

Additional concerns have been expressed regarding the impact of biofuel on the price of food. Recently, demonstrations have taken place in Mexico in response to the increasing price of maize as a result of greater demand for maize as a feedstock for ethanol production in the United States. Clearly, there is a need for analysis on the wide array of feedstock production and processing systems.

Biofuels in the tropics

Well managed, lower-input production systems in the tropics, matched with energy-efficient transport and processing systems, have great potential for efficient energy production systems in and for developing economies. These systems can also link smallholders to markets, and agroindustries to efficient use of resources. The bioethanol industry based on sugarcane in Brazil, pioneered in the 1970s and now accounting for close to 40 per cent of world production, is an excellent example.

Careful analyses of biofuel production and processing systems in the tropics are required to separate fact from fiction and logical development from hype. These analyses will revolve around:

  • better land use planning to minimize competition for food production, increase transport efficiency and maximize processing capacity and efficiency
  • improved agronomy and breeding to increase agricultural efficiency
  • improvements in processing to increase the efficiency of conversion of feedstock to fuel
  • subsidies and import and export policies

Technologies to improve the efficiency of biofuel production in developed countries can and need to be transferred to developing countries. For instance, the ongoing improvements in ethanol production from maize will benefit the production of ethanol from tropical feedstocks, such as cassava.

The future of biofuels is bright. Nevertheless, healthy debate must take place to ensure maximum economic and environmental benefits globally. Furthermore, we need to ensure maximum benefits to small holders in the form of a balance between food, feed, fibre and fuel production systems, especially where they represent pathways out of poverty.

Rod Lefroy, Regional Coordinator, CIAT Asia

Occasional papers

Issue 2: A methodology for assessment of the impact of microfinance on empowerment and vulnerability

The paper offers a broad framework for assessing the impact of microfinance projects on the empowerment and vulnerability of poor rural people, going well beyond the conventional criteria of rates of return and financial sustainability of microfinance institutions.

We hope that the methodology proposed will enrich the criteria for IFAD’s interventions in microfinance through contextual adaptation. Empowerment increases poor people’s freedom of choice and action to shape their own lives, while addressing vulnerability builds their resilience to various shocks.

The paper is based on a small but detailed survey of members of self-help groups in six villages in the Pune district of India, where the IFAD-supported Maharashtra Rural Credit Project was implemented. There is no dearth of studies that examine targeting accuracy in microfinance programmes, reduction in the transaction costs of borrowing by and lending to self-help groups, microenterprise development and capacity-building in self-help groups.

However, rather than providing a checklist of impact indicators, this paper identifies a few key indicators that impinge on aspects of social capital, empowerment of the poorest people and self-insurance. The indicators used are familiar and easy to develop. An attempt is made to propose a selective list of indicators that could be adapted, refined and extended through systematic application.

Read occasional paper

For more information, please contact Ganesh Thapa, Regional Economist, IFAD, and Raghav Gaiha, Professor of Economics, University of Delhi

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Useful links

 

 

 


Contact

[email protected]
www.ifad.org

Martina Spisiakova
Tel: 3906-54592295

Making a Difference in Asia and the Pacific

Issue 14: January/February 2007 - Sustainable natural resource management

Issue 13: November/December 2006 - PBAS: looking beyond the resource allocation system

Issue 12: September/October 2006 - Communication for poverty reduction and rural development

Issue 11: July/August 2006 - Working with UN agencies at the country level

Issue 10: May/June 2006 - Indigenous peoples and ethnic minorities

Issue 9: March/April 2006 - Access to land

Issue 8: January/February 2006 - Agricultural Technology Management

Issue 7: November/December 2005 - Pro-poor policies

Issue 6: September/October 2005 - Gender & MDGs

Issue 5: July/August 2005 - Partnership

Issue 4: May/June 2005 - Rural Finance

Issue 3: March/ April 2005 - Donor Harmonization

Issue 2: January/ February 2005

Issue 1: November/ December 2004

Upcoming events:

Mongolia
IFAD strategy workshop, Ulaanbaatar, March 2007

Republic of Korea
Regional Workshop on Pro-poor Agricultural Technology Choices, Coalition of the Rural Poor, and Strategic Thrusts in Asia and the Pacific, Seoul, 13-16 March  2007

International events

Fifteenth Session of the UN Commission on Sustainable Development (csd-15), New York, United States, 30 April 2007 – 11 May 2007

World Biofuels Markets Congress, Brussels, Belgium, 6 March 2007

Environmental Planning and Management in Southeast Asian Countries, Hanoi, Viet Nam, 6 – 8 March 2007

International Conference on Water and Flood Management, Dhaka, Bangladesh, 12 March 2007

National Conference on Technological Advances and Emerging Societal Implications, Rourkela, India, 24 March 2007

Human Security in Asia: Emerging Issues and Challenges, Jeonju, Republic of Korea, 24 – 25 March 2007
 
China Alternative Energy 2007, Beijing, China, 26 – 27 March 2007

The Third International Conference on Energy and Power Systems 2007, Phuket, Thailand, 2 – 4 April 2007 

Engineering Sustainability 2007: Innovations that Span Boundaries, Pittsburgh, United States, 15 April 2007

Sustainable Transport Fuels – China 2007, Beijing, China, 23 – 24 April 2007

Third International Conference on Sustainable Development and Planning, Algarve, Portugal, 25 – 27 April 2007

 

Upcoming missions:

Afghanistan
Fact-finding/identification mission, March – April 2007

Bangladesh
Appraisal mission – National Agricultural Technology Project, March 2007

China
Early implementation support missionXinjiang Uygur Autonomous Region Modular Rural Development Programme, 12 – 30 March 2007

Training on results and impact monitoring system (RIMS) and monitoring and evaluation (M&E), and M&E set up for the Xinjiang Uygur Autonomous Region Modular Rural Development Programme, 12 – 30 March 2007

Gender mainstreaming training of trainers and finalization of gender manual, March – April 2007                

Mid-term review – Rural Finance Sector Programme in Chongqing and Shaanxi provinces 7-April – 9 May 2007           

Iran
Fact-finding/identification mission, March – April 2007

Mongolia
Country strategy opportunities programme and inception mission, 27 Feb - 30 March 2007

Implementation support mission – Rural Poverty-Reduction Programme, 28 February – 10 March 2007   

Pakistan
Appraisal mission – Programme for Increasing Sustainability and Outreach in Microfinance, March 2007

 

 

About IFAD

The International Fund for Agricultural Development (IFAD) is a specialized agency of the United Nations, dedicated to eradicating poverty and hunger in developing countries. Its work in remote rural areas of the world helps countries achieve the Millennium Development Goals. Through low-interest loans and grants, IFAD develops and finances projects that enable rural poor people to overcome poverty themselves.

IFAD tackles poverty not just as a lender, but as an advocate for the small farmers, herders, fisherfolk, landless workers, artisans and indigenous peoples who live in rural areas and represent 75 per cent of the world's 1.2 billion extremely poor people. IFAD works with governments, donors, non-governmental organizations, local communities and many other partners to fight the underlying causes of rural poverty. It acts as a catalyst, bringing together partners, resources, knowledge and policies that create the conditions in which rural poor people can increase agricultural productivity, as well as seek out other options for earning income.

IFAD-supported rural development programmes and projects increase rural poor people's access to financial services, markets, technology, land and other natural resources.

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