DOCSLIB.ORG

Off-Grid Solar Market Assessment & Private Sector Support Facility Design

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Off-Grid Solar Market Assessment & Private Sector Support Facility Design ECREEE: OFF-GRID SOLAR MARKET ASSESSMENT AND PRIVATE SECTOR SUPPORT FACILITY DESIGN REGIONAL OFF-GRID ELECTRIFICATION PROJECT Off-Grid Solar Market Assessment & Private Sector Support Facility Design BENIN REPORT JULY 2019 TABLE OF CONTENTS LIST OF FIGURES ...................................................................................................................... 5 BENIN REPORT 1 ECREEE: OFF-GRID SOLAR MARKET ASSESSMENT AND PRIVATE SECTOR SUPPORT FACILITY DESIGN LIST OF TABLES ........................................................................................................................ 7 ABBREVIATIONS & ACRONYMS .......................................................................................... 9 ACKNOWLEDGEMENTS ....................................................................................................... 12 KEY DEFINITIONS .................................................................................................................. 13 EXECUTIVE SUMMARY ........................................................................................................ 16 I. STATE OF ENERGY ACCESS AND ENABLING MARKET ENVIRONMENT ....... 36 1.1 Country Overview ....................................................................................................... 36 1.2 Energy Market ............................................................................................................ 37 1.2.1 Energy Sector Overview ....................................................................................... 37 1.2.2 Electricity Access: Grid and Off-Grid .................................................................. 37 1.2.2.1 Off-Grid Market Overview ............................................................................... 38 1.2.2.2 Demand and Supply/Generation Mix ............................................................... 40 1.2.2.3 Transmission and Distribution Network ........................................................... 41 1.2.2.4 Least-Cost Electrification Analysis .................................................................. 44 1.2.2.5 Inclusive Participation ...................................................................................... 52 1.2.3 Key Challenges ..................................................................................................... 53 1.3 National Policy and Regulation ................................................................................. 56 1.3.1 National Electricity/Electrification Policy ............................................................ 56 1.3.2 Integrated National Electrification Plan ................................................................ 56 1.3.3 Energy and Electricity Law .................................................................................. 56 1.3.4 Framework for Stand-alone Systems .................................................................... 57 1.3.4.1 Existence of Specific National Programs ......................................................... 59 1.3.4.2 Financial Incentives .......................................................................................... 60 1.3.4.3 Standards and Quality ....................................................................................... 60 1.3.4.4 Concession Contracts and Schemes .................................................................. 60 1.3.4.5 Specific Business Model Regulation ................................................................ 61 1.3.5 Capacity Building and Technical Assistance ........................................................ 61 1.4 Development Initiatives .............................................................................................. 66 1.4.1 National Government Initiatives ........................................................................... 66 1.4.2 DFI and Donor Programs ...................................................................................... 66 1.4.3 Other Initiatives .................................................................................................... 68 II. OFF-GRID SOLAR PV MARKET ASSESSMENT ......................................................... 69 2.1 Demand – Households ................................................................................................ 70 BENIN REPORT 2 ECREEE: OFF-GRID SOLAR MARKET ASSESSMENT AND PRIVATE SECTOR SUPPORT FACILITY DESIGN 2.1.1 Overview of Household Market Segment............................................................. 70 2.1.2 Analysis of Household Market Segment Demand ................................................ 76 2.1.3 The Market for Household Devices without Consumer Finance .......................... 84 2.1.4 The Financed Market for Off-Grid Solutions ....................................................... 87 2.1.5 Consumer Perceptions, Interest and Awareness ................................................... 91 2.2 Demand – Institutional ............................................................................................... 93 2.2.1 Overview of Institutional Market Segment........................................................... 93 2.2.2 Analysis of Institutional Market Segment Demand .............................................. 93 2.2.3 Ability to Pay and Access to Finance ................................................................. 102 2.3 Demand – Productive Use ........................................................................................ 103 2.3.1 Overview of Productive Use Market Segment ................................................... 103 2.3.2 Analysis of Productive Use Market Segment Demand ....................................... 106 2.3.3 Ability to Pay and Access to Finance ................................................................. 114 2.4 Supply Chain ............................................................................................................. 115 2.4.1 Overview of Commercial Market for Solar PV Equipment ............................... 115 2.4.2 Overview of OGS Companies in Africa and Level of Interest in the Region .... 117 2.4.3 Solar Market, Products and Companies in Benin ............................................... 119 2.4.4 Overview of Business Models ............................................................................ 122 2.4.5 The Role of Non-Standard Players in the Market ............................................... 124 2.4.6 Equipment Quality and the Impact of Uncertified Equipment ........................... 125 2.4.7 Local Capacity to Manage Business Development, Installation and Maintenance . 125 2.4.8 Capacity Building Needs of the Supplier Market Segment ................................ 126 2.5 Key Market Characteristics ..................................................................................... 128 2.5.1 Barriers to Off-Grid Solar Market Growth ......................................................... 128 2.5.2 Drivers of Off-Grid Solar Market Growth .......................................................... 129 2.5.3 Inclusive Participation ........................................................................................ 130 BENIN REPORT 3 ECREEE: OFF-GRID SOLAR MARKET ASSESSMENT AND PRIVATE SECTOR SUPPORT FACILITY DESIGN III. ANALYSIS OF THE ROLE OF FINANCIAL INSTITUTIONS ................................. 132 3.1 Introduction to Financial Products for the Off-Grid Sector ................................ 132 3.1.1 Financial Products for End-Users ....................................................................... 132 3.1.2 Financial Products for Suppliers/Service Providers ........................................... 133 3.2 Financial Market Overview ..................................................................................... 135 3.2.1 Market Structure ................................................................................................. 135 3.2.2 Financial Inclusion .............................................................................................. 138 3.2.3 Commercial Lending Environment..................................................................... 146 3.2.4 Lending to the Off-Grid Solar Sector ................................................................. 150 3.2.4.1 Programs Supporting Financial Institutions in Off-Grid Solar Lending ........ 150 3.2.4.2 Key Barriers to Off-Grid Solar Lending ......................................................... 150 3.3 Financial Institutions ................................................................................................ 152 3.3.1 Development Finance Institutions ...................................................................... 152 3.3.2 Microfinance Institutions .................................................................................... 153 3.3.3 Informal Financial Institutions ............................................................................ 154 3.3.4 Impact Investors .................................................................................................. 156 3.3.5 Crowd Funders .................................................................................................... 157 3.4 Summary of Findings ............................................................................................... 158 ANNEX 1: TASK 1 METHODOLOGY ................................................................................. 163 ANNEX 2: TASK 2 METHODOLOGY ................................................................................
Load more

Recommended publications
  • AFREA) Phase I Public Disclosure Authorized Public Disclosure Authorized
    Public Disclosure Authorized Energizing Africa: Achievements and Lessons from the Public Disclosure Authorized Africa Renewable Energy and Access Program (AFREA) Phase I Public Disclosure Authorized Public Disclosure Authorized Africa Renewable Energy and Access Program (AFREA) Photo (above): Isabel Neto Cover photo: Stephanie Nsom Table of Contents Acronyms and Abbreviations . 5 The African Energy Challenge . 7 . AFREA Phase I . .11 . Lighting Africa . 15 Background . .15 . Solar Lighting Products . 16 Who Benefits from Lighting Africa? . 16. Impacts . 16 . Lessons Learned . 17 Biomass Energy Initiative and Africa Clean Cooking Energy Solutions . 19 Biomass Energy Initiative (BEIA) for Africa . 19. BEIA Pilot Projects . 19 Outcomes of BEIA Projects . 20 Impacts . .20 . Africa Clean Cooking Energy Solutions (ACCES) . .21 . Focus on Market Transformation . 21 . Importance of Knowledge Management . 21 . ACCES Activities under AFREA I . 21 . Impacts . 22 . The Rwanda SWAp . 25 Setting Up the SWAp . 25 Implementing the SWAp . .25 . AFREA: Making Green Connections . 26 . Generating Results . 26 Reaping the Impacts . 26. Learning from the SWAp . 27 . Table of Contents 1 Gender and Energy Program . .29 . Gender and Energy Up Close . 29 . Lessons Learned . 30 Africa Electrification Initiative . .33 . Activities Carried Out under AEI . 33 Lessons Learned . 35 Conclusion: AFREA Phase IA Foundation for Progress . 37. Boxes Box 1: Senegal’s Solar Lantern Library . 11 Box 2: Setting Quality Standards for Solar Lighting Devices . 16 Box 3: Kenyan Flower Workers Given Credit to Access Clean Lighting . 17 . Box 4: Scaling Up Biodiesel Production Transforms a Community in Kenya . 20. Box 5: Establishing a Comprehensive Quality Assurance and Technical Support System for Cookstoves . 22. Box 6: Benefits of the Rwanda SWAp Go beyond the Numbers .
    [Show full text]
  • 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
    [Show full text]
  • Effect of Negative Shocks to Electricity Consumption on Negative Shocks to Economic Growth in Benin
    View metadata, citation and similar papers at core.ac.uk brought to you by CORE provided by Munich Personal RePEc Archive MPRA Munich Personal RePEc Archive Effect of negative shocks to electricity consumption on negative shocks to economic growth in Benin Arnaud Dakpogan and Eon Smit University of Stellenbosch Business School 17 September 2018 Online at https://mpra.ub.uni-muenchen.de/89539/ MPRA Paper No. 89539, posted 19 October 2018 06:28 UTC 1 EFFECT OF NEGATIVE SHOCKS TO ELECTRICITY CONSUMPTION ON NEGATIVE SHOCKS TO ECONOMIC GROWTH IN BENIN *Arnaud Dakpogan, University of Stellenbosch Business School, +27846206077, [email protected] or [email protected], Carl Cronje Dr, Belleville, Cape Town, 7530 South Africa. Eon Smit, University of Stellenbosch Business School, +2721 9184225. Abstract The current study used an asymmetric approach to establish that negative shocks to electricity consumption have caused negative shocks to economic growth in Benin over the period 1971- 2014. In so doing, it has ascertained the conclusion of the national policy framework for electricity which stipulated that shortages of electricity have impeded economic growth. Benin has encountered several electricity shortages in the 1980s, 1990s, and 2000s. Although the share of electricity consumption in total energy consumption is very low in the country, electricity consumption remains essential for of economic growth because shortages of electricity cause reduction in economic growth. This result has some important policy implications in terms of electricity security in Benin. Keywords: Asymmetric Causality, Electricity Consumption, Economic Growth, Electricity Shortages 1 INTRODUCTION In general, four different hypotheses have been established in the literature on the causal relationship between energy consumption and economic growth (Payne, 2010; Lee, 2006; Apergis and Payne, 2011; Ozturk, 2010; Ewing et al., 2007; Soytas and Sari, 2003; Apergis and Payne 2009a, 2009b; Bowden and Payne, 2009, 2010).
    [Show full text]
  • 40-Fifth Management Progress Report
    INTERNATIONAL BANK FOR RECONSTRUCTION AND DEVELOPMENT INTERNATIONAL DEVELOPMENT ASSOCIATION 5TH PROGRESS REPORT TO THE BOARD OF EXECUTIVE DIRECTORS ON THE IMPLEMENTATION OF MANAGEMENT’S ACTION PLAN IN RESPONSE TO THE INSPECTION PANEL INVESTIGATION REPORT NO. 42644-GH ON THE WEST AFRICAN GAS PIPELINE (WAGP) PROJECT (IDA GUARANTEE NO. B-0060-GH) MAY 2014 5th Progress Report Abbreviations and Acronyms AIS Automatic Identification System CDP Community Development Projects CEB Communauté Electrique du Benin CRR Community Relation Representatives DPR Department of Petroleum Resources (Nigeria) EMP Environmental Management Plan ERP Emergency Response Plan ESAP Environment and Social Advisory Panel FAO Food and Agriculture Organization FoE-Ghana Friends of the Earth Ghana GEPA Ghana Environmental Protection Agency ICR Implementation Completion Report IDA International Development Association IFC International Finance Corporation IITA International Institute of Tropical Agriculture MAP Management Action Plan MIGA Multilateral Investment and Guarantee Agency mmcf/d Million Cubic Feet per Day MOU Memorandum of Understanding NGO Nongovernment Organization PAP Project Affected Persons PPZ Pipeline Protection Zone PRG Partial Risk Guarantee R&M Regulation and Metering RAP Resettlement Action Plan ROW Right of Way TGSA Takoradi Gas Sales Agreement VRA Volta River Authority VTMS Vessel Traffic Management System WAGP West African Gas Pipeline Project WAGPA West African Gas Pipeline Authority (Regulator) WAPCo West African Gas Pipeline Company ii West African Gas Pipeline Project 5th Progress Report West African Gas Pipeline Project Executive Summary Background 1. The West African Gas Pipeline (WAGP) Project consists of a 678 kilometer onshore and offshore pipeline that transports gas from Nigeria to Benin, Togo, and Ghana, providing gas to power generating units.
    [Show full text]
  • Meeting Africa's Energy Needs and Widening Access to Sustainable
    Meeting Africa’s Energy Needs and Widening Access to Sustainable Energy in Sub-Saharan Africa WHAT IS AFREA? The Africa Renewable Energy Access program (AFREA) was established in 2009 to help meet energy needs and widen access to energy services in Sub-Saharan African countries in an environmentally responsible way. AFREA was set up through a US$28.875 million con- tribution from the Kingdom of the Netherlands to the Clean Energy Investment Framework Multi-Donor Trust Fund (CEIF-MDTF) of the World Bank’s Energy Sector Management Assistance Program (ESMAP). AFREA funds support the implementation of the Africa Energy Unit (AFTEG) strategy and its clients, through analytical and advisory activities, while also providing recipient-executed technical assistance and investment grants that help speed up the deployment of renewable energy systems regionally. OUR FOCUS AREAS AFREA Energy Access “If traditional biomass AFREA is helping to expand access to reliable and affordable modern energy services by supporting energy use in Sub-Saharan improved service delivery and the scale-up of Africa was modernized, it could innovations in electricity, lighting and cooking. bring far-reaching benefits in both Green Growth the short and long term and raise Low carbon development, energy efficiency and household living standards (BEIA climate change adaptation programs are vital to Africa’s Biomass report 2010).” future. AFREA supports green growth for a reliable, low carbon and sustainable power supply, supporting competitiveness and employment, enabling more busi- nesses and people to realize their economic potential. Capacity Building and Filling the Knowledge Gaps AFREA’s role enhancing the capacity of key institu- tions—government ministries, rural energy agencies (REAs), power utilities, regulators and power pool oper- ators—is essential to successful energy access scale-up.
    [Show full text]
  • (PV) in WEST AFRICA : LEARNINGS from BENIN About This Brief
    SOLAR PHOTOVOLTAIC (PV) IN WEST AFRICA : LEARNINGS FROM BENIN About this brief The brief was authored by Innogence Consulting in collaboration with ARESS. Innogence Consulting would like to thank ARESS for providing the data used in this brief, which were extracted from invoices issued since they began operations in Benin in 2013. Innogence Consulting ARESS Innogence Consulting provides market Africa Renewable Energy System & Solution research and strategy consulting services to (ARESS) is a leading provider of renewable private companies and public institutions. energy solutions with a focus on solar Our team operate in 24 countries in Africa. energy. The company operates in West To find out more about Innogence Africa, with teams in Benin, Togo, Burkina Consulting, consult the website: Faso, Mali and Sénégal. www.innogenceconsulting.com To find out more about ARESS, consult their website: http://www.aress-group.net/ 2 Ressources Énergétiques du Benin, in its Introduction 2018 report, 29.2% of Beninese citizens have access to electricity, with a significant disparity between urban (53.9%) and rural Benin has been experiencing a rapid areas (6.5%). The National electrification economic growth with a corresponding rate includes every structure that have ever increase in the demand for energy. been connected to the national grid and Keeping pace with the rising energy needs, doesn’t factor in the consistency of the to enable economic growth and extend power supply. access to modern energy to those lacking, is presently the agenda as well as challenge Government has set an electrification for policy makers in the country. Trying to target rate of 95% Urban electrification and solve this while betting on clean energy, 65% Rural electrification by 2025.
    [Show full text]
  • Energizing Africa: Achievements and Lessons from the Africa Renewable Energy and Access Program (AFREA) Phase I
    Energizing Africa: Achievements and Lessons from the Africa Renewable Energy and Access Program (AFREA) Phase I Africa Renewable Energy and Access Program (AFREA) Photo (above): Isabel Neto Cover photo: Stephanie Nsom Table of Contents Acronyms and Abbreviations . 5 The African Energy Challenge . 7 . AFREA Phase I . .11 . Lighting Africa . 15 Background . .15 . Solar Lighting Products . 16 Who Benefits from Lighting Africa? . 16. Impacts . 16 . Lessons Learned . 17 Biomass Energy Initiative and Africa Clean Cooking Energy Solutions . 19 Biomass Energy Initiative (BEIA) for Africa . 19. BEIA Pilot Projects . 19 Outcomes of BEIA Projects . 20 Impacts . .20 . Africa Clean Cooking Energy Solutions (ACCES) . .21 . Focus on Market Transformation . 21 . Importance of Knowledge Management . 21 . ACCES Activities under AFREA I . 21 . Impacts . 22 . The Rwanda SWAp . 25 Setting Up the SWAp . 25 Implementing the SWAp . .25 . AFREA: Making Green Connections . 26 . Generating Results . 26 Reaping the Impacts . 26. Learning from the SWAp . 27 . Table of Contents 1 Gender and Energy Program . .29 . Gender and Energy Up Close . 29 . Lessons Learned . 30 Africa Electrification Initiative . .33 . Activities Carried Out under AEI . 33 Lessons Learned . 35 Conclusion: AFREA Phase IA Foundation for Progress . 37. Boxes Box 1: Senegal’s Solar Lantern Library . 11 Box 2: Setting Quality Standards for Solar Lighting Devices . 16 Box 3: Kenyan Flower Workers Given Credit to Access Clean Lighting . 17 . Box 4: Scaling Up Biodiesel Production Transforms a Community in Kenya . 20. Box 5: Establishing a Comprehensive Quality Assurance and Technical Support System for Cookstoves . 22. Box 6: Benefits of the Rwanda SWAp Go beyond the Numbers . .27 . Box 7: Tambacounda’s Hero .
    [Show full text]
  • Sanitation Service Delivery in West Africa: Report to PSI on Product
    Pg. 26 December 18, 2015 Sanitation Service MAILING ADDRESS Delivery in West Africa: PO Box 900922 Seattle, WA 98109 USA Report to PSI on ADDRESS Product Scan Findings 2201 Westlake Avenue Suite 200 Seattle, WA, USA Benin TEL: 206.285.3500 FAX: 206.285.6619 www.path.org For internal use only –not for external distribution. PATH | Product Scan Findings | Benin | 2015 Table of Contents Acknowledgments............................................................................................................................... iii Acronyms ............................................................................................................................................ iv Background .......................................................................................................................................... 1 Study objectives ............................................................................................................................... 1 Frameworks.......................................................................................................................................... 1 Improved sanitation: the Joint Monitoring Programme sanitation technology ladder .................... 2 The Swiss Federal Institute of Aquatic Science and Technology sanitation service chain ............. 2 Methods................................................................................................................................................ 5 Research activities ..........................................................................................................................
    [Show full text]
  • Centre Songhai: Integrated Development of Renewable
    (ii) soil conditioner impact on physical and biological Teriya Bugu is one of the pioneers of renewable energy in properties of the soils Mali, with more than 30 years of experience. Together with (iii) safety: presence of toxins and heavy metals. other experiences, like that of SNV and AVSF, who are running 20 The raw Jatropha cake and the digested Jatropha cake have programmes on developing family biogas in Mali, the high nitrogen mineralisation potential, and despite a high community approach serves as a model for rural community presence of phorbol esters toxins may be considered as development. Mini grids using mixes of renewable energy in organic fertilisers. Experiments at Teriya Bugu showed no villages that have sufficient raw material available are an presence of these toxins in fruits and cereals after fertilisation inspiration. with Jatropha cake, while the yield of tomatoes improved considerably (from 22 t/ha to 31 t/ha, Traoré, Kamaté et al, Maurice Kamaté 2015). In Mali, there is no standard yet for the use of Jatropha AEDR Teriya Bugu fertiliser, but AEDR is working on this with ANADEB. Jean-Michel Médoc In addition, WABEF analysed the business of the centre. This CIRAD exercise provided insight into the social business of biogas, [email protected] highlighting the need to look at various segments and to combine mixes of inputs and outputs. Since the rehabilitation of the bio-digesters, Teriya Bugu no longer lacks biogas to meet its cooking needs for the hotel. This results in savings References on hotel costs and also an increase in the purchase price of African Development Bank.
    [Show full text]
  • Department of Business Management Sankalchand Patel College of Engineering Visnagar Global Country Study Report Summary Report P
    Department of Business Management Sankalchand Patel College of Engineering Visnagar Global Country Study Report Summary Report prepared by Institution College code: 752 Country Selected: Benin Total Students: 42 Total No of Group: 8 Study undertaken on by the students on the following titles 1. Political Environment of Benin 2. Economic Environment of Benin 3. Social Environment of Benin 4. Technological Environment of Benin 5. Environmental & Basic information of Benin 6. Legal environment of Benin 7. Overview of Major Industries 8. Overview of Financial Market Country Profile Official Name: Republique du Bénin Short form: Bénin Long form: Republic of Benin Formerly known as: Dahomey ISO Country Code: bj Time: Local Time = UTC +1h Actual Time: Fri-Dec-28 05:52 Country Calling Code: +229 Capital City: Porto-Novo (pop. 295 000) Political and economic capital: Cotonou (pop. 2 million) Other Cities: Abomey, Gavié, Kandi, Ouidah Government: Type: Republic under multiparty democratic rule. Independence: 1 August 1960 (form France). Constitution: 10 December 1990. Geography: Location: Western Africa Area: 112,622 km² (43,483 sq. mi.). Terrain: Mostly flat plains of 200 meters average elevation, but the Atacora Mountains with the highest points being Mont Sokbaro 658 m, Mont Tanekas 641 m. Climate: Tropical, average temperatures between 24 and 31 C. Humid in south;semiarid in north. People: Nationality: Beninese Population: 9 million (2012) Ethnic groups: 42 ethnic groups, most important being Fon, Adja, Yoruba, andBariba. Religions: Indigenous beliefs (animist) 50%, Christian 30%, Muslim 20%. Languages: French (official), Fon and Yoruba in the south; Nagot, Bariba and Dendiin the north. Literacy: Total population 39%; men 53%, women 25%.
    [Show full text]
  • Evaluation Design Report
    EVALUATION DESIGN FOR EVALUATION SERVICES IN SUPPORT OF THE BENIN II OFF-GRID ENERGY ACCESS PROJECT Submitted: February 27, 2019 The views and opinions expressed herein are those of the author(s) and do not necessarily represent those of MCC or any other U.S. Government entity. This page left intentionally blank. EVALUATION DESIGN FOR EVALUATION SERVICES IN SUPPORT OF THE BENIN II OFF-GRID ENERGY ACCESS PROJECT Submitted: February 27, 2019 Submitted to: Millennium Challenge Corporation 875 Fifteenth Street, NW Washington, DC 20005-2221 Contracting Officer’s Representative: Shreena Patel Contract Number 95332418C0281 Submitted by: Social Impact, Inc. 2300 Clarendon Blvd., Suite 1000 Arlington, VA 22201 703.465.1884 www.socialimpact.com i This page left intentionally blank. ii TABLE OF CONTENTS Tables ............................................................................................................................. v Figures ........................................................................................................................... v Acronyms ...................................................................................................................... vi 1.0 Introduction & Background .................................................................................... 1 1.1 Country Context ........................................................................................................................................................... 1 1.2 Objectives of the Report ..........................................................................................................................................
    [Show full text]
  • The Effect of Electricity Losses on GDP in Benin
    Munich Personal RePEc Archive The effect of electricity losses on GDP in Benin Dakpogan, Arnaud and Smit, Eon University of Stellenbosch Business School 17 September 2018 Online at https://mpra.ub.uni-muenchen.de/89545/ MPRA Paper No. 89545, posted 18 Oct 2018 18:51 UTC 1 THE EFFECTS OF ELECTRICITY LOSSES ON GDP IN BENIN *Arnaud Dakpogan, University of Stellenbosch Business School, +27846206077, [email protected] or [email protected], Carl Cronje Dr, Belleville, Cape Town, 7530 South Africa. Eon Smit, University of Stellenbosch Business School, +2721 9184225. Abstract The current study has assessed the losses of GDP caused by electricity losses in Benin over the period 1980-2014. The technique used was the Autoregressive Distributive Lags (ARDL). Results showed that in the long run Benin loses 0.16% of its GDP on average because of electricity losses. Benin is a country which faces important losses of electricity. A financing mechanism of the cost associated with reduction of electricity losses has been proposed in the national policy framework for electricity. By investigating the gain in GDP resulting from a reduction in electricity losses, the current study has assessed the feasibility of such mechanism, and thus contributes to the advancement of energy efficiency policy in Benin. Key words: electricity losses, GDP, financing mechanism, national policy framework, efficiency, Benin. 1 INTRODUCTION According to Payne (2010) and Alam (2006), the availability and low costs of electricity will attract investments. Firms will not have to increase their fixed costs by purchasing a generator, as electricity is available and at low prices. Conversely, lack of access, high cost and shortages of electricity will negatively affect investments and the competitiveness of an economy.
    [Show full text]