Presentation On Current Status of Nepal's Solar Projects and Other RE Programs

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Presentation on Current Status of Nepal’s

Solar Projects and Other RE Programs

Solar 2011 Conference


May 15-21, 2011
Raleigh, North Carolina, USA

Surya Kumar Sapkota


Sr. Planning Officer, AEPC
Surya R. Tamrakar
Deputy Manager, NEA
Outline of the Presentation

• Introduction and Energy Situation in Nepal


• Renewable Energy Situation of Nepal
• Current Projects and Technologies
• Policies and Incentives for RE
• Future Plans
• Challenges
Introduction & Energy Situation in Nepal
Commercial 
Energy Renewable 
• Landlocked Himalayan country with 12% Energy
1%
diverse climate situation
• Per capita income US$ 562 and
3.5% GDP growth rate
• 85% population live in rural areas Traditional 
Energy
(total 28.8 million) and agriculture 87% Sources of Energy (2009)

main occupation Livestock 


Agricultural 
residues 
residues 
7%
• Total energy consumption 11.9 4%

Million TOE (2009) & per capita


energy consumption is 14 GJ
Fuel wood
• 56% population have access to 89%

electricity including 9% from RETs


Traditional Sources of Energy  (2009)
Introduction - AEPC
• The Government of Nepal established the
Alternative Energy Promotion Centre (AEPC)
in 1996 to look after all RETs

• It is National Executing Agency for RE


programs and projects
• It is under Ministry of Environment and has
semi autonomous status

• It has mandate for policy & plan formulation


resource mobilization, coordination, quality
assurance and Monitoring of RETs
Renewable Energy Situation of Nepal

Micro-hydro (Potential >100MW Wind (Potential 3000 MW &


HHs Biogas (Potential 1.1 million &
& Progress ~ 16 MW Progress-Pilot projects)
Progress ~0.24 million plants)

IWM (Potential 25,000 &


Bio-fuel (Potential 1100,000 tons &
Progress ~7,000)
Progress- piloting
ICS (Potential 2.5 Million &
Progress ~0.53 Million hhs)

SHS (Potential 4.7


kWh/m2/day & Progress ~0.49 Solar dryer & cooker Institutional Solar System/Solar
million hhs; 7.2 MW) (3000 HHs) water pumping (200, 000 HHs)
Applications of Solar Energy in Nepal

SHS (>10 Wp) Small SHS (5-10 wp) Institutional Solar PV

Solar Cooker Solar Dryer

Solar PV Water Pumping


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Solar Energy Potential in Nepal
G lo b al H o rizon tal Irra d ian c e, k W h /m 2/d ay
An n u al A verag e N
81° 82° 83° 84° 85° 86° 87° 88°

Country Average
= 4.7 kWh/m2/day Le ge n d
30°
3.8 5 - 4.0 0 30°
4.0 0 - 4.1 5
4.1 5 - 4.3 0
4.3 0 - 4.4 5
4.4 5 - 4.6 0
4.6 0 - 4.7 5
4.7 5 - 4.9 0
4.9 0 - 5.0 5
29° 5.0 5 - 5.2 0 29°

Around 300 days Sunshine


28° 28°

27° 27°

10 0 0 10 0 K ilo m e ter s

1: 35 00 0 00

26° 26°
81° 82° 83° 84° 85° 86° 87° 88°

Solar Energy source is free F ig u re 1


SW E R A P r o ject
Cen ter fo r E n er g y S tu d ies
In stitu te o f E n g in eerin g , T rib h u van U n iversi ty

Solar Energy source is Renewable


Solar Energy is abundant
Current Projects and Technologies
Energy Sector Assistance Program
• Started in 1999 and will end in 2012 March
• Supported by Denmark, Norway, KfW/Germany and
DFID/UK

• Major Programs/Technologies:
Micro and Mini hydro up to 1000 KW,
 Solar Energy mainly solar PV (Household),
Biomass- ICS, Gasifiers, Bio-briquette
Institutional Strengthening of RE Sector

• Next Phase: Rural and Renewable Energy (2012 June-


2017)
Rural Energy Development Program

• Started in 1996 with UNDP support

• The World Bank joined in 2003

• Major Technologies/Programs
 Community Micro hydro and other rural energy

• New Program - Renewable Energy for Rural


Livelihoods (RERL) : 2011 April-Dec. 2012
Renewable Energy Project

• Started in 2003 will end in beginning of 2012

• Supported by European Commission

• Major Technologies/Programs
 Institutional Solar PV for computer in school,
 Operation of refrigerator in health post,
 Pumping of drinking water
 Community dryer, solar hot water systems etc.
Biogas Support Program
• Started in 1992 with Gov. of the Netherlands

• The KfW joined in 1997 and the World Bank in


2007

• Major Programs
 Biogas- HHs biogas plants ~ 2-8 m3

• First CDM project in Nepal (registered 19,000 plants)


Other Technologies/Programs

• Carbon and Climate Change: DFID-UK

• Energy for all- technical support to solar


energy and improved water mill: ADB

• Up scaling of renewable energy: WB, ADB and


other donors from 2012
Policies for Solar and Other RE

Objective
To reduce dependency on traditional energy and
conserve environment - access to clean and cost effective
energy in the rural areas

To increase employment and productivity

To increase the living standards of the rural population -


integrating rural energy with social and economic
activities.
Policies for Solar and Other RE
• Emphasis for environment friendly RETs
• Capacity building of local bodies planning,
implementation, M & E
• Establishment of Central Renewable Energy Fund to
mobilize the financial resource
• Involvement of private sector, NGOs and community
• Diversification of productive end-uses
• Research and development
• Grid connection of off-grid and small energy systems
Policies for Solar and Other RE…….
• Subsidy Arrangement
– Poverty, remoteness, backward caste and tribes
– Reducing in accessible and commercially viable areas
– Support to R and D

• Resource Arrangement
– Financial resources – District Energy Fund, Village Energy Fund
– Human resources

• Coordination Arrangement
– Central level - AEPC
– Local Level – Local Governments
Policies of Solar Energy
• Emphasis for the necessary R & D for reducing cost of and its
efficient use
• Arrangement to operate SETs at community and institutional level
by integrating it with irrigation, health, education & drinking water
• Encouraging the development of SETs by integrating it with
technology for drying & cooking of food, lighting, communication
• Conducting necessary public awareness activities to increase the use
of solar cookers
• Preparation of Solar energy map for the country

• Proper management of used solar batteries used


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Incentive for Solar and Other RE
• Indirect Incentive
 Custom and VAT Exemption for RET related equipment /
components

• Direct Incentive (Subsidy)


 Credit to RETs- micro/mini hydro, solar PV, Biogas
 Subsidy to almost all RETs
 Micro/Mini Hydro: US$ 1,821- 4,357 per KW
 Solar PV Home Systems: US$ 29 -143 per System/HH
 Ins. Solar PV/Water Pumping: US$ 214 - 14,286 per system
 Solar Dryer/Cooker: US$ 71- 143 per Unit
 Wind Energy: US$ 2,214 per KW
 Biogas Plant: US$ 149-299 per HH
Future Plans: 3 Years (2010/11-2012/13)
Major Activity Unit Target
Mini/Micro Hydro KW 15,000
Biogas Plant No. 90,000
Solar Home Systems (above 5 Wp) No. 225,000
Institutional Solar PV No. 800
Solar Water Pumping No. 150
Solar Dryer/Cooker No. 2000
Improved Water Mill No. 4500
First grid connected solar PV ~ 600 KW for pumping water
Promotion of the solar energy in Urban areas, street lighting and
installation of solar PV in public institutions
Access to electricity to additional population 7% from RETs in next 3
years
Challenges
• Access to RETs to the remote areas in terms of
availability & affordability
• Increase access to financing of RETs including
credit financing
• Formulate the conducive policy e.g. feed-in-tariff
• Grid connection of the RETs
• Commercialization of the RETs
• Adoptive research & technology transfer
• After-sale-services in the remote areas
Thank You for
Your
Kind Attention

For More information: www.aepc.gov.np

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