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POLICIES SUPPORTING
DEVELOPMENT OF RETs IN
       TANZANIA

Ministry of Energy and Minerals

         6th June, 2012
Contents
• Introduction
• Importance of Electricity
• Why RETs
• Role of the Government
• National Energy Policy
• Supportive Policy (2003) Statement on
  RETs
• Energy Policy Implementation:
• Conclusion
1. INTRODUCTION
Why is Energy so important?
• A major input/factor in micro & macro-
  economic development
• Addressing basic human needs - food,
  shelter, social and economic services
• Its impact on Environment - air/water
  pollution, land degradation
2. IMPORTANCE OF ELECTRICITY
• Successful achievement of the
  Government’s broader economic policy
  and continued efforts to alleviate poverty
• Stimulation of both community and
  economic development - Include
  productive/income generating activities,
  and community facilities such as schools,
  hospitals, health centers, dispensaries,
  communication, etc.
3. Why RETs
• Sustainable Energy source and supply
• Environmentally friendly, hence Environment
  protection.
• Very good option for off-grid solutions
• Income generating activities – hence poverty
  reduction
• Ideal for stand alone systems especially Solar
  PV and Micro Wind Turbine for remote and
  dispersed areas where the national grid is not
 anticipated in the next 5-10 years
• Low operation and maintenance cost
• Not site specific
4. ROLE OF THE GOVERNMENT
• To stimulate private sector participation and/or
  investment initiatives
• To facilitate Development by rationalizing
  provision of resources and services (using
  supportive policies- technical, economic and
  legal/regulatory)
• Formulating and Supervising implementation
  of the National Energy Policy
5. NATIONAL ENERGY POLICY
• OBJECTIVE:
      Availability of reliable and affordable energy
      supplies and their use in a rational and
      sustainable manner so as to support national
      development goals
• PROCESS:
  – 1992: Launching of the 1st National Energy Policy
  – 2003: Launching of the revised NEP-As a result of
     structural changes in the overall economy and political
     transformations
 – 2012: Review of 2003 NEP is under preparation
 – 2012: Biofuel policy is on the way to be launched
6. SUPPORTIVE POLICY (2003)
      STATEMENT ON RETs

• Policy statement in NEP 2003 on RETs include:
  “Promote efficient biomass conversion and end-use
  technologies, in order to save resources; reduce rate of
  deforestation and land degradation; and minimizing
  threats on climate change”.
• NEP also emphasizes on conservation of biomass
  particularly woodfuel through efficient conversion and
  end-use technologies- complemented by tree growing at
  household level and beyond.
7. SUPPORTIVE POLICY (2003)
           STATEMENT ON RETs (ctd)
• “Introduce and support appropriate fiscal and financial
  incentives for renewable energy.Through REA & REF.

• “Establish norms, codes of practice, guidelines and standards
  for renewable energy technologies, to facilitate the creation of
  an enabling environment for sustainable development of
  renewable energy sources” Eg. Biofuels guidelines and Solar
  PV Standards.

• Ensure inclusion of environmental considerations in all
  renewable energy planning and implementation, and enhance
  co-operation with other relevant stakeholders. CDM for
  renewable energy projects connected to the National Grid.
8. SUPPORTIVE POLICY (2003)
       STATEMENT ON RETs (ctd)
• “Support research and development in
  renewable energy technologies”. Eg. Research
  on coal-biomass briquettes to ascertain gases
  produced after combustion, geothermal, wind
  and small hydro resources assessment.
• “Promote entrepreneurship and private initiative
  in the production and marketing of products and
  services for rural and renewable energy”. Eg.
  Micro wind turbine & biogas plants manufacture,
  Solar PV suppliers & dealers, and others.
9. ENERGY POLICY IMPLEMENTATION:
       EFFORTS BY THE GOVT
• Supportive National Energy Policy statements, as
  well as formulation of a separate Rural energy
  Policy (draft version available)
• Mobilization of funds for RETs Projects
   e.g1: Solar PV Market Barriers Removal (Mwanza
      & Sida/MEM Solar PV projects and TEDAP
   e.g2: Tanzania Domestic Biogas Programme
   e.g3: Biomass Energy Strategy (BEST)
• Removal of VAT and Import Duty on Solar PV
  system gadgets and micro wind turbine below
  30kW capacity.
10. ENERGY POLICY IMPLEMENTATION:
      EFFORTS BY THE GOVT (ctd)
• Establishment of Rural Energy Agency (REA)
  and Rural Energy Fund (REF)
• Adoption of Standards and Codes of Practice for
  the Solar PV systems.
• Conducive environment for Independent Power
  Producers (IPPs)
• Establishment of annual Standardized Small
  Power Purchase Tariff – Coordinated by EWURA.
11. CONCLUSION
• The Government through the Ministry of Energy
  and Minerals is in full support of RETs
  technology promotion and dissemination, as a
  possible option for off-grid power solution- so as
  to improve electricity/energy access to both peri-
  urban and rural areas.
• In order for RETs to have a meaningful
  contribution to modern energy supply, innovative
  solutions from all stakeholders to address
  affordability, reliability and acceptability are
  required.
THANKS

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Mem presentation at renewable energy day

  • 1. POLICIES SUPPORTING DEVELOPMENT OF RETs IN TANZANIA Ministry of Energy and Minerals 6th June, 2012
  • 2. Contents • Introduction • Importance of Electricity • Why RETs • Role of the Government • National Energy Policy • Supportive Policy (2003) Statement on RETs • Energy Policy Implementation: • Conclusion
  • 3. 1. INTRODUCTION Why is Energy so important? • A major input/factor in micro & macro- economic development • Addressing basic human needs - food, shelter, social and economic services • Its impact on Environment - air/water pollution, land degradation
  • 4. 2. IMPORTANCE OF ELECTRICITY • Successful achievement of the Government’s broader economic policy and continued efforts to alleviate poverty • Stimulation of both community and economic development - Include productive/income generating activities, and community facilities such as schools, hospitals, health centers, dispensaries, communication, etc.
  • 5. 3. Why RETs • Sustainable Energy source and supply • Environmentally friendly, hence Environment protection. • Very good option for off-grid solutions • Income generating activities – hence poverty reduction • Ideal for stand alone systems especially Solar PV and Micro Wind Turbine for remote and dispersed areas where the national grid is not anticipated in the next 5-10 years • Low operation and maintenance cost • Not site specific
  • 6. 4. ROLE OF THE GOVERNMENT • To stimulate private sector participation and/or investment initiatives • To facilitate Development by rationalizing provision of resources and services (using supportive policies- technical, economic and legal/regulatory) • Formulating and Supervising implementation of the National Energy Policy
  • 7. 5. NATIONAL ENERGY POLICY • OBJECTIVE: Availability of reliable and affordable energy supplies and their use in a rational and sustainable manner so as to support national development goals • PROCESS: – 1992: Launching of the 1st National Energy Policy – 2003: Launching of the revised NEP-As a result of structural changes in the overall economy and political transformations – 2012: Review of 2003 NEP is under preparation – 2012: Biofuel policy is on the way to be launched
  • 8. 6. SUPPORTIVE POLICY (2003) STATEMENT ON RETs • Policy statement in NEP 2003 on RETs include: “Promote efficient biomass conversion and end-use technologies, in order to save resources; reduce rate of deforestation and land degradation; and minimizing threats on climate change”. • NEP also emphasizes on conservation of biomass particularly woodfuel through efficient conversion and end-use technologies- complemented by tree growing at household level and beyond.
  • 9. 7. SUPPORTIVE POLICY (2003) STATEMENT ON RETs (ctd) • “Introduce and support appropriate fiscal and financial incentives for renewable energy.Through REA & REF. • “Establish norms, codes of practice, guidelines and standards for renewable energy technologies, to facilitate the creation of an enabling environment for sustainable development of renewable energy sources” Eg. Biofuels guidelines and Solar PV Standards. • Ensure inclusion of environmental considerations in all renewable energy planning and implementation, and enhance co-operation with other relevant stakeholders. CDM for renewable energy projects connected to the National Grid.
  • 10. 8. SUPPORTIVE POLICY (2003) STATEMENT ON RETs (ctd) • “Support research and development in renewable energy technologies”. Eg. Research on coal-biomass briquettes to ascertain gases produced after combustion, geothermal, wind and small hydro resources assessment. • “Promote entrepreneurship and private initiative in the production and marketing of products and services for rural and renewable energy”. Eg. Micro wind turbine & biogas plants manufacture, Solar PV suppliers & dealers, and others.
  • 11. 9. ENERGY POLICY IMPLEMENTATION: EFFORTS BY THE GOVT • Supportive National Energy Policy statements, as well as formulation of a separate Rural energy Policy (draft version available) • Mobilization of funds for RETs Projects e.g1: Solar PV Market Barriers Removal (Mwanza & Sida/MEM Solar PV projects and TEDAP e.g2: Tanzania Domestic Biogas Programme e.g3: Biomass Energy Strategy (BEST) • Removal of VAT and Import Duty on Solar PV system gadgets and micro wind turbine below 30kW capacity.
  • 12. 10. ENERGY POLICY IMPLEMENTATION: EFFORTS BY THE GOVT (ctd) • Establishment of Rural Energy Agency (REA) and Rural Energy Fund (REF) • Adoption of Standards and Codes of Practice for the Solar PV systems. • Conducive environment for Independent Power Producers (IPPs) • Establishment of annual Standardized Small Power Purchase Tariff – Coordinated by EWURA.
  • 13. 11. CONCLUSION • The Government through the Ministry of Energy and Minerals is in full support of RETs technology promotion and dissemination, as a possible option for off-grid power solution- so as to improve electricity/energy access to both peri- urban and rural areas. • In order for RETs to have a meaningful contribution to modern energy supply, innovative solutions from all stakeholders to address affordability, reliability and acceptability are required.