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Feasibility Study and Action Plan for Small Wind Turbines in Benin

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Feasibility Study and Action Plan for Small Wind Turbines in Benin Feasibility study and action plan for the manufacturing of components for small-scale wind turbines in Benin Final report (version in English) Prepared for: CTCN Proponent Benin: Ministry of Energy/Directorate General of Energy (Juste Christel Tankpinou DAMADA/Todéman Flinso ASSAN/Amine Bitayo KAFFO), CTCN Focal Point Benin (Raphiou AMINOU) Prepared by: Peter VISSERS, Adrien BIO YATOKPA, Johan KUIKMAN, Stan VAN DEN BROEK, A. M. Akofa ASARE-KOKOU, Rakiatou GAZIBO © Partners for Innovation, 24 September 2018 1 List of acronyms ABERME Agence Béninoise d'électrification rurale et de maîtrise d'énergie AfDB African Development Bank ANADER Agence Nationale de Développement des Energies Renouvelables ARE Autorité de Régulation de l'Electricité CEB Communauté Electrique du Bénin CENER Centro Nacional de Energías Renovables (National Centre of Renewable Energy, Spain) CONTRELEC L’Agence de Contrôle des Installations Electriques Intérieures CTCN Climate Technology Centre and Network DGRE Direction Générale des Ressources Énergétiques, Ministère de l’Energie DGEC Direction Générale de l’Environnement et du Climat, Ministère du Cadre de Vie et du Développement Durable DTU Danmarks Tekniske Universitet (Danish University of Technology) ECOWAS Economic Community of West African States ECREEE ECOWAS Centre for Renewable Energy and Energy Efficiency EEEOA Le système d’Échanges d’Énergie Électrique Ouest Africain EnDev Energising Development EPC Engineering, Procurement and Construction FCFA West African CFA franc (XOF), 1 EUR = 656 FCFA, 1 USD = 558 FCFA [57] GIZ Deutsche Gesellschaft für Internationale Zusammenarbeit (German Organisation for International Development) GoB Government of Benin IEC International Electrotechnical Commission IRENA International Renewable Energy Agency LCOE Levelised Cost of Electricity MCC Millennium Challenge Corporation ODD Objectifs de développement durable SBEE Société Béninoise d'Energie Electrique UAC Université d'Abomey-Calavi (National University of Benin) UEMOA Union Economique et Monétaire Ouest-Africaine UNDP United Nations Development Programme Acknowledgements As part of this study, the researchers have conducted interviews and communicated with over 50 persons from different government agencies, universities, non-governmental organisations and the private sector in Benin and worldwide. We would like to express our gratitude to all those that have cooperated in this study as their input has been very important to the outcome of this report. Special thanks go to Juste Christel Tankpinou DAMADA, Todéman Flinso ASSAN, Amine Bitayo KAFFO and Raphiou AMINOU who were closely involved in all steps of the study. The researchers also would like to thank the CTCN/UNIDO team for their flexibility and for providing valuable suggestions on how to improve the outcome of this study. Reader guide This report presents the final version of the feasibility study and the action plan. A draft report was used as object of discussion for the stakeholder validation workshops on 1 and 2 December 2017 and 19 July 2018. At the end of these meetings, the team of consultants was asked to incorporate the recommendations in the final report. 2 Table of contents Preface Minister of Energy of Benin ........................................................................................................ 8 Preface Climate Technology Centre and Network .................................................................................. 9 Executive summary ............................................................................................................................... 10 1. Introduction ................................................................................................................................... 17 1.1 Rationale and scope .............................................................................................................. 17 1.2 Report outline and methodology .......................................................................................... 18 2. Energy situation in Benin ............................................................................................................... 19 2.1 Institutional context .............................................................................................................. 19 2.2 Production and consumption ................................................................................................ 20 2.3 Renewable energy technologies and costs ........................................................................... 23 3. Role of small wind turbines in the electrification of South-Benin ................................................ 27 3.1 Geographic and demographic considerations ...................................................................... 27 3.2 Technological considerations ................................................................................................ 31 3.3 Annual production potential and potential market size ....................................................... 32 3.4 Market potential in a wider perspective ............................................................................... 34 4. Setting up an industry for small wind turbines in Benin ............................................................... 36 4.1 Rationale and production basics ........................................................................................... 36 4.2 Presence of relevant industry in Benin ................................................................................. 37 4.3 Socio-economic results: costs and employment creation .................................................... 38 4.4 Sensitivity analysis ................................................................................................................. 41 5. Action plan for small wind manufacturing and deployment in Benin .......................................... 43 5.1 Theory of change ................................................................................................................... 43 5.2 Formulating the action plan .................................................................................................. 43 5.3 Concretizing the action plan .................................................................................................. 46 5.4 Risks and risk management ................................................................................................... 51 6. Conclusion and discussion ............................................................................................................. 53 The table of contents continues on the following page 3 Annex I: Bibliographic references .......................................................................................................... 55 Annex II: Generation costs of envisaged power production projects ................................................... 59 Annex III: Wind direction diagram ......................................................................................................... 60 Annex IV: Estimated number of inhabitants and their power demands in rural and peri-urban areas suitable for wind power in the four southernmost departments ......................................................... 61 Annex V-1: Gender assessment – Gender and energy in Benin ............................................................ 64 Annex V-2: Gender assessment – Intervention Strategy on gender and wind energy ......................... 70 Annex VI: Organizations interviewed .................................................................................................... 76 Annex VII: Questionnaire used for survey of Beninese manufacturing capacity .................................. 77 Annex VIII-1: Terms of Reference (ToR) ................................................................................................ 81 Annex VIII-2: Terms of Reference (ToR) – amendment 1...................................................................... 87 4 List of tables Table 1: Summary of estimated socio-economic results for total market ............................................ 11 Table 2: Total costs per kWh for off-grid technologies in South-Benin ................................................ 11 Table 3: Short-term action plan for setting up a small wind sector in Benin ........................................ 12 Table 4: Directions and prospects for the small wind sector in Benin .................................................. 15 Table 5: Several operational RE projects in Benin ................................................................................. 24 Table 6: Main factors affecting overall costs per kWh for solar PV-systems and diesel generators .... 24 Table 7: Monthly wind speed averages and standard deviations (m/s) in Cotonou ............................ 27 Table 8: Typical situations in which small wind turbines could be applied .......................................... 30 Table 9: Estimated number of inhabitants and their power demands in windy and unelectrified localities in rural and peri-urban areas in the four southernmost departments .................................. 32 Table 10: Estimated annual output & number of households servable with a Fortis Passaat turbine in South-Benin ........................................................................................................................................... 33 Table 11: Estimated annual output & number of households servable with Fortis Montana
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