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active· Climate· Health

Mitigating GHG emission through modern, efficient and climate friendly clean cooking solutions (CCS)

To implement this project, there is a need of measurable effort from stakeholders such as from Government levels, private companies, media and civil society, etc. from demand side and private sector for supply side.The overall implementation of this project can be devised with five components: Component 1: Contexualization, baseline identification and R&D: i. Baseline studies, cost-benefit analysis and dissemination to the relevant stakeholders ii. Preparation of database management of the technologies to be promoted iii. Piloting of new and appropriate clean cooking technologies of Tier-3 and above, and the innovative business model Component 2: Promotion and deployment of clean cooking solutions by: i. Implementing one million Tier-3 and above stoves, 45000 Biogas and 70,000 electric stoves to the community specially focusing to Terai area. Priority will be given to the electric cooking above others. ii. Supporting to supply chain industry such as pellet industry, manufacturing companies to maintain the sustainable supply chain in the market. iii. Enhancing affordability of the end users by reducing price of technology and fuel; integration of innovative consumer financing models. iv. Linking clean cooking solution promotion activities with financing, micro-credit and income generation activities. v. Enabling access to finance for increasing investment by the private sector through challenge fund mechanism or viability gap fund mechanism as well as making enabling environment for private sector to get fund from financial institution. Component 3: Create enabling environment to promote Tier-3 and above cooking solutions, fuels and infrastructure by Capacity building and awareness of value chain actors: i. Rigorous awareness/behaviour change/marketing campaigns highlighting on the health benefits of clean cooking options together with other benefits like fuel saving, cleanliness and drudgery reduction as well as focus on imparting behaviour change in the traditional cookstove users to ensure the proper and sustained use of clean cooking solutions; rather than just providing the technology. ii. Capacity building of private investors, entrepreneurs and financial institutions iii. Stregthen the capacity of local entrepreneurs of raw materials/fuel supply chain. Component 4: Testing, quality assurance and monitoring: i. Developing and implementing the systems for quality assurance and monitoring mechanism ii. Creating the coordination mechanism for the supply chain actors for the quality assurance and monitoring. iii. Strengthen the existing testing facilities and expand the testing facility at provincial level iv. Regular monitoring of the technologies implemented for the sustainable operation. Component 5: Technical assistance for the sustainability: i. Strengthen collaboration and coordination among stakeholders; and create linkages between private sector, local government, banks/financial institutions and users to promote Tier 3 and above clean cooking solution and achieve desidered output. ii. Enabling environment by facilitating local government to prioritize clean cooking solution promotion in annual planning, formulating appropriate policies and incentive mechanisms. iii. Enabling environment by facilitating local government to prioritize clean cooking solution promotion in annual planning, formulating appropriate policies and incentive mechanisms. Currently, more than half the households of Terai region need to be served with clean cooking solutions. Also, Nepal initiated very ambitious campaign of Clean Cooking Solution. Then, GoN has endorsed Investment Prospectus (IP) and Biomass Energy Strategy 2017 with the aim of attaining Clean Cooking Solutions for all in two stages i.e. by improved solutions of cooking by 2022 (no open fire burning) and modern solutions of cooking with at least Tier-3 level by 2030. Thus, this programme is ready for scaling up and has the potential for transformation to IAP free kitchen, CCS and GHG emission reductions. With support from GoN and various External Development Partners (EDPs), AEPC has been able to successfully disseminate more than 431,000 household biogas plants, more than 2,000 solar cookers/dryers and above 1,434,000 Improved Cooking Stoves across the country. AEPC is the nodal agency of the Government of Nepal (GoN) for the promotion and development of renewable energy (RE), energy efficiency (EE) and related climate change activities across the country. AEPC requires well-defined PPP with bottom up approach. AEPC will facilitate coordination among all stakeholders, provide technical assistance to local government, conduct monitoring and evaluation and ensure quality assurance. AEPC with support from local government will develop framework, guidelines and procedures to call private sector to provide access to accessible CCS integrating innovative financing for beneficiaries. Despite AEPC’s efforts to secure financing from other development partners, a financial gap still remains, which is primarily needed for technical assistance. This is expected to be fulfilled by the support from GCF and AEPC will also look forward for the financing complementarity from other climate fund such as NAMA facility. Specific to financing, until an energy project is commissioned and capable of operating, there is no indirect financial benefits, e.g. reduced consumption of fuel wood, time saving which can be utilized in other economical activities, etc. The risk of not using the technology always looms around because of conventional approaches to cooking. Some mitigation would be awareness, making CCS technologies mandatory, and creating a value for CO2 emission reductions. At the end of the project, it is expected that 1 million biomass based improved cookstoves, 45000 biogas and 70,000 electric cooking will be promoted in Terai area.

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USD 49.2M budget·USD 7.2M disbursed·Green Climate Fund implementer·Nepal location·Oct 7, 2021 → Dec 13, 2027 timeline

Overview

About this project

To implement this project, there is a need of measurable effort from stakeholders such as from Government levels, private companies, media and civil society, etc. from demand side and private sector for supply side.The overall implementation of this project can be devised with five components: Component 1: Contexualization, baseline identification and R&D: i. Baseline studies, cost-benefit analysis and dissemination to the relevant stakeholders ii. Preparation of database management of the technologies to be promoted iii. Piloting of new and appropriate clean cooking technologies of Tier-3 and above, and the innovative business model Component 2: Promotion and deployment of clean cooking solutions by: i. Implementing one million Tier-3 and above stoves, 45000 Biogas and 70,000 electric stoves to the community specially focusing to Terai area. Priority will be given to the electric cooking above others. ii. Supporting to supply chain industry such as pellet industry, manufacturing companies to maintain the sustainable supply chain in the market. iii. Enhancing affordability of the end users by reducing price of technology and fuel; integration of innovative consumer financing models. iv. Linking clean cooking solution promotion activities with financing, micro-credit and income generation activities. v. Enabling access to finance for increasing investment by the private sector through challenge fund mechanism or viability gap fund mechanism as well as making enabling environment for private sector to get fund from financial institution. Component 3: Create enabling environment to promote Tier-3 and above cooking solutions, fuels and infrastructure by Capacity building and awareness of value chain actors: i. Rigorous awareness/behaviour change/marketing campaigns highlighting on the health benefits of clean cooking options together with other benefits like fuel saving, cleanliness and drudgery reduction as well as focus on imparting behaviour change in the traditional cookstove users to ensure the proper and sustained use of clean cooking solutions; rather than just providing the technology. ii. Capacity building of private investors, entrepreneurs and financial institutions iii. Stregthen the capacity of local entrepreneurs of raw materials/fuel supply chain. Component 4: Testing, quality assurance and monitoring: i. Developing and implementing the systems for quality assurance and monitoring mechanism ii. Creating the coordination mechanism for the supply chain actors for the quality assurance and monitoring. iii. Strengthen the existing testing facilities and expand the testing facility at provincial level iv. Regular monitoring of the technologies implemented for the sustainable operation. Component 5: Technical assistance for the sustainability: i. Strengthen collaboration and coordination among stakeholders; and create linkages between private sector, local government, banks/financial institutions and users to promote Tier 3 and above clean cooking solution and achieve desidered output. ii. Enabling environment by facilitating local government to prioritize clean cooking solution promotion in annual planning, formulating appropriate policies and incentive mechanisms. iii. Enabling environment by facilitating local government to prioritize clean cooking solution promotion in annual planning, formulating appropriate policies and incentive mechanisms. Currently, more than half the households of Terai region need to be served with clean cooking solutions. Also, Nepal initiated very ambitious campaign of Clean Cooking Solution. Then, GoN has endorsed Investment Prospectus (IP) and Biomass Energy Strategy 2017 with the aim of attaining Clean Cooking Solutions for all in two stages i.e. by improved solutions of cooking by 2022 (no open fire burning) and modern solutions of cooking with at least Tier-3 level by 2030. Thus, this programme is ready for scaling up and has the potential for transformation to IAP free kitchen, CCS and GHG emission reductions. With support from GoN and various External Development Partners (EDPs), AEPC has been able to successfully disseminate more than 431,000 household biogas plants, more than 2,000 solar cookers/dryers and above 1,434,000 Improved Cooking Stoves across the country. AEPC is the nodal agency of the Government of Nepal (GoN) for the promotion and development of renewable energy (RE), energy efficiency (EE) and related climate change activities across the country. AEPC requires well-defined PPP with bottom up approach. AEPC will facilitate coordination among all stakeholders, provide technical assistance to local government, conduct monitoring and evaluation and ensure quality assurance. AEPC with support from local government will develop framework, guidelines and procedures to call private sector to provide access to accessible CCS integrating innovative financing for beneficiaries. Despite AEPC’s efforts to secure financing from other development partners, a financial gap still remains, which is primarily needed for technical assistance. This is expected to be fulfilled by the support from GCF and AEPC will also look forward for the financing complementarity from other climate fund such as NAMA facility. Specific to financing, until an energy project is commissioned and capable of operating, there is no indirect financial benefits, e.g. reduced consumption of fuel wood, time saving which can be utilized in other economical activities, etc. The risk of not using the technology always looms around because of conventional approaches to cooking. Some mitigation would be awareness, making CCS technologies mandatory, and creating a value for CO2 emission reductions. At the end of the project, it is expected that 1 million biomass based improved cookstoves, 45000 biogas and 70,000 electric cooking will be promoted in Terai area.

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