Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

50
International workshop “Learning from national domestic biogas programmes in Asia; mapping opportunities for developing and resourcing of biogas sectors including carbon financing” 20-22 November 2012, Art Senses Hotel and Place, Chengdu, PR China Workshop Report February 2013

Transcript of Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

Page 1: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

International workshop

“Learning from national domestic biogas programmes in

Asia; mapping opportunities for developing and resourcing

of biogas sectors including carbon financing”

20-22 November 2012, Art Senses Hotel and Place, Chengdu, PR China

Workshop Report February 2013

Page 2: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

2

Contents

Summary ................................................................................................................................................... 3

1. Introduction .............................................................................................................................................. 6

1.1 Objective of the workshop .......................................................................................................... 6

1.2 Participants ................................................................................................................................. 7

2. Workshop agenda ..................................................................................................................................... 7

2.1 Day I, 20 November 2012............................................................................................................ 7

2.1.1 Plenary Opening Session .................................................................................................. 7

2.1.2 Plenary Presentation Session: “Spotlight on China” ........................................................ 9

2.1.3 Parallel session Country Team “What did we learn” ..................................................... 11

2.1.4 Plenary presentation session of Country Teams ........................................................... 12

2.2 Day II, 21 November 2012......................................................................................................... 13

2.2.1 Visit to BIOMA and exhibition of Chinese biogas industry ............................................ 13

2.2.2 Visit to Yong’an Biogas Management Cooperative (biogas service network) ............... 13

2.2.3 Visit Hongqi company in Chengdu ................................................................................. 14

2.3 Day III, 22 November 2012........................................................................................................ 14

2.3.1 Plenary session “Mapping Opportunities” ..................................................................... 14

2.3.2 Parallel sessions A-E ....................................................................................................... 17

2.3.3 Plenary reporting session ............................................................................................... 29

2.3.4 Update on E4All working group on domestic biogas ..................................................... 30

2.3.5 Plenary Closing session .................................................................................................. 31

2.3.6 Evaluation and closing of the workshop ........................................................................ 32

Annex I – List of Participants ....................................................................................................................... 33

Annex II – Workshop Agenda ...................................................................................................................... 37

Annex III - Summary of Country Presentations ........................................................................................... 40

Annex IV - Result of the workshop evaluation ............................................................................................ 48

Page 3: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

3

Summary Asia is the centre of domestic biogas development, with the People’s Republic of China having installed more than 42 million units (by the end of 2011) and India about 4.4 million units (by the end of March 2011) based on strong government support. With support by SNV Netherlands Development Organisation, Nepal, Vietnam, Bangladesh and Cambodia, followed by Lao PDR, Indonesia, Pakistan and Bhutan have started market-based national programmes aiming to develop sustainable, commercially viable biogas sectors. By the end of 2011, more than 430,000 biogas plants were installed in these eight countries, including units installed through other projects. SNV initiates to extract lessons that will inform further development of the domestic biogas programmes in Asia and possibly also in other parts of the world. More than fifty different organisations currently cooperate in the Working Group on Domestic Biogas convened by SNV under the Energy for All Partnership (E4ALL) initiated by the Asian Development Bank (ADB). The objective of this group is the construction of one million domestic biogas plants across fifteen Asian countries by 2016. Recently, efforts on the generation of carbon credits from national biogas programmes have resulted in success for among others Cambodia, India, Nepal and China. The question is if and how carbon financing can be further increased in these countries, but also applied in other countries with a sizable programme. Against this background, SNV and the Biogas Institute of Ministry of Agriculture (BIOMA) of China, in cooperation with the ADB/E4ALL, organised an International Workshop on Domestic Biogas in Chengdu, China, from 20 to 22 November 2012. Approximately 120 people participated in the workshop. This workshop had two specific objectives:

To evaluate the performance of the national programmes on domestic biogas from 2005 to 2012 and to assess the outlook of these programmes up to 2016. Expected output is an outline of the main issues, lessons learnt and prospects by country;

To present and discuss the latest developments and opportunities on key issues related to the transition from biogas projects to national programmes to sectors. Expected output is opportunities mapped for developing and resourcing of biogas sectors on: carbon financing, product development, bio-slurry, credit facilities and the enabling environment.

The first day of the workshop, on 20 November 2012, kicked-off with opening speeches from representatives from the Ministry of Agriculture in China, the Biogas Institute of Ministry of Agriculture, the Asian Development Bank, and SNV Netherlands Development Organisation. The following plenary session was focused on biogas development in China. The presenters, representing the Ministry of Agriculture in China, the Sichuan Provincial Rural Energy Office and the World Bank, provided an overview of the status of domestic biogas activities in China. The Chinese government is highly supportive to the biogas sector in terms of laws and legislation, although the high number of policies can create confusion. Efforts have been made on training of households and enterprises. The establishment of biogas service networks for users was emphasized, although not all are functioning well due to their location or low profitability. In May 2008, more than half a million plants were damaged due to an earthquake in Sichuan Province. An emergency loan was made available by AFD and IFAD for (re)construction of new biodigesters. The (re)construction materials consisted of bricks and cement for the digester and fibreglass for the dome. Within 3 years, the project was successfully completed.

Page 4: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

4

Two more projects were highlighted, including the efficient utilization of agricultural wastes, financially supported by ADB and GEF. The project focused on the improvement of the mechanism of biomass technology transfer, improvement of farm-to-market facilities, enhancing awareness of environment among the public, piloting poverty focused approaches to biomass development and capacity building. The project set up 19,100 biogas digesters in addition to improving kitchens, toilets and pig sheds. The Carbon Finance Unit, established by the World Bank, has pioneered multiple funds bridging innovation with public private partnerships. Twelve biogas related projects have been realised including three programmes aiming to reduce 10 mega tons of CO2e. Currently, there are projects in China, Thailand, the Philippines and Nepal with new projects being developed in Ethiopia and Nepal. The first day continued with a parallel session on “what did we learn?”. Twelve country teams were formed in which the teams had to evaluate (via SWOT analysis) the performance of domestic biogas sector in their respective country. The analyses were guided by two key questions:

1. What are the three most relevant strengths, weaknesses, opportunities & threats of the domestic biogas sector in our country?

2. What are concrete actions points to overcome the three most relevant weaknesses and/or threats in the domestic biogas sector in our country?

The individual country presentations indicated that some of the strengths in one country are weaknesses in other countries. Government commitment in most countries appears to be good but enforcement of policies is weak and is sometimes disturbing market driven approach. Availability of other biogas technologies/designs is being followed in several countries while in some other the focus is on one single but proven model. Most countries have developed strong national and international networks. Capacity building and training is a strong component across the countries while trained masons are leaving work and therefore requires attention. Lack of coordination at stakeholder and donor level was also highlighted. The number of smallholder animal farmers is decreasing in some countries requiring refocusing on relatively larger animal holders. Donor dependency and conflicting subsidy schemes are also issues. Most countries still have little access to micro-finance especially in rural areas. Several countries have effective multi stakeholder platforms while others have weak linkages.

A quantitative analysis of the sector elements (market demand, market supply and the enabling environment) mentioned in the country SWOTs shows that the weaknesses are mostly related to the market supply side and the threats are mostly related to the enabling environments. On the second workshop day, on 21 November 2012, a full day of field visits was planned. A visit for the participants was organized to the Biogas Institute of Ministry of Agriculture (BIOMA). A guided tour was provided by the staff of BIOMA to its various laboratories and facilities related to biogas analysis and testing. A briefing on BIOMA’s activities was also provided using multimedia in the BIOMA conference room. The participants also visited an exhibition of the Chinese biogas industry, organized at the front yard of BIOMA. In the exhibit many Chinese enterprises and companies involved in manufacturing and marketing of various biogas and other renewable energy related appliances and accessories had prepared display stands. The Yong’an Biogas Management Cooperative, established in 2007 with government support, was visited. The Cooperative provides domestic biogas plant services to approximately 5,000 farmers in Yong’an Township and other townships nearby. The management mode of the Cooperative is

Page 5: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

5

characterised by different memberships (ordinary, full services and non-memberships). While at Yong’an, participants also visited local biogas households and interacted with the plant owners. Finally, the Hongqi Company was visited, which is an enterprise engaged in research and development, production, sales and service of digesters made of fibreglass reinforced plastic. The annual output of the fibreglass digesters made by this company has reached 400,000. Participants visited the production factory, followed by a Q&A session with Hongqi management. On the final workshop day, on 22 November 2012, focused on the latest developments and opportunities on key issues related to the transition from biogas projects to national programmes to sectors. It started with several plenary presentations to serve as introduction and share experiences in the topics of product development, carbon financing, optimal use of bio-slurry, credit facilities, and enabling environments for biogas sectors.

On product development, SimGas was introduced, a company producing two types of biogas plants with animal manure and kitchen waste as feedstock in Tanzania. The main objectives are to provide reasonably cheap, reliable, scalable, easily transportable and easy to install products. On carbon financing and bio-slurry use, a FAO study on the potential to access carbon markets through biogas projects in the Greater Mekong Sub-region was presented. On credit facilities, the biogas loan product in Cambodia was elaborated on by Amret MFI. They provide loan to potential biogas households, with an average of USD 500-600. Interest rate is 1.2% per month with duration up to 24 months. On regional level, efforts are undertaken by KfW to establish a debt fund to re-finance MFIs; for example to provide biogas loans. Several market studies in Asian countries show potential for financing biogas. On enabling environments, the example of the Alternative Energy Promotion Centre (AEPC) Nepal was presented. The AEPC facilitates the enabling environment for the Nepalese biogas sector since 1996. AEPC plays a key role in facilitating the biogas partnership between public and private actors and is setting up guidelines and standards as well as in subsidy monitoring.

In the following five parallel sessions, a number of key questions were raised with regard to the topics carbon financing, product development, optimal use of bio-slurry, credit facilities, and enabling environments. The questions aimed to analyse the barriers identified and lessons learned in commercialisation of biogas; which good practices make a biogas project/programme successful; and what will be the future of key market instruments. Specifically, to secure carbon finance, a strong and robust organisation structure is needed, as well as internal carbon expertise. There is a need for a common knowledge sharing platform, such as the recently initiated Sub-Working Group on Carbon Financing under the E4ALL Partnership. On microcredit for MFIs and biogas households, the appropriate terms and conditions were discussed, concluding that tailored funding is crucial for success. On enabling environments, especially national policies, standards and regulation are needed as well as overall government commitment. A nodal entity for coordination is preferred to boost this.

The E4All goal is to provide access to reliable and affordable modern energy services to 100 million people in Asia and the Pacific by 2015. An update on the E4All Working Group on Domestic Biogas was provided, which included various trainings, R&D (fibre glass digesters) and consultations. The workshop ended with a brief reflection on the objectives and major discussion themes in domestic biogas programmes: the demand side still witnesses a lack of awareness among households on the full benefits of biogas; the supply side needs to be mobilised stronger with private sector development at its core; and in relation to enabling environments, biogas is more and more recognised in national policies and through establishment of dedicated government institutes.

Page 6: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

6

1. Introduction Asia is the centre of domestic biogas development, with the People’s Republic of China having installed more than 42 million units (by the end of 2011) and India about 4.4 million units (by the end of March 2011) based on strong government support. With support by SNV Netherlands Development Organisation, Nepal, Vietnam, Bangladesh and Cambodia, followed by Lao PDR, Indonesia, Pakistan and Bhutan, have started market-based national programmes aiming to develop sustainable, commercially viable biogas sectors. By the end of 2011, more than 430,000 biogas plants were installed in these eight countries, including units installed through other projects. More than fifty different organisations currently cooperate in the Working Group on Domestic Biogas convened by SNV under the Energy for All Partnership (E4ALL) initiated by the Asian Development Bank (ADB). The objective of this group is the construction of one million domestic biogas plants across fifteen Asian countries by 2016, providing access to sustainable energy to five million people. Whereas for the giant biogas countries, China and India, the focus of the E4ALL efforts will be solely on innovation, scaling-up is aimed for the eight Asian countries with existing national programmes. In addition, the launch of feasible programmes is targeted for five new countries. Since 2005, the Netherlands Ministry of Foreign Affairs (DGIS) has supported the Asia Biogas Programme covering biogas programmes in Bangladesh, Cambodia, Lao PDR and Vietnam. A Mid-Term Review (MTR) of these programmes was executed in 2008. Early 2012, SNV has initiated both internal and external evaluations to extract lessons that will inform further development of the domestic biogas programmes in Asia and possibly also in other parts of the world. More recently, efforts on the generation of carbon credits from national biogas programmes have resulted in success for among others Cambodia, India, Nepal and China. The question is if and how carbon financing can be further increased in these countries, but also applied in other countries with a sizable programme. This type of financing could be coupled with temporary public funding and debt funding opportunities to achieve financial sustainability of national programmes on domestic biogas. Against this background, SNV and the Biogas Institute of the Ministry of Agriculture (BIOMA) of China, in cooperation with the ADB/E4ALL, organised an International Workshop on Domestic Biogas in Chengdu, China, from 20 to 22 November 2012.

1.1 Objective of the workshop

This workshop had two specific objectives:

To evaluate the performance of the national programmes on domestic biogas from 2005 to 2012 and to assess the outlook of these programmes up to 2016. Expected output is an outline of the main issues, lessons learnt and prospects by country;

To present and discuss the latest developments and opportunities on key issues related to the transition from biogas projects to national programmes to sectors. Expected output is opportunities mapped for developing and resourcing of biogas sectors on: carbon financing, product development, bio-slurry, credit facilities and the enabling environment.

Page 7: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

7

1.2 Participants

Approximately 120 people participated in the workshop, consisting of selected delegations from fifteen countries in Asia, of representatives from ADB and other potential external financers and of stakeholders from the biogas sector in China. See Annex I for the complete list.

2. Workshop agenda The workshop was organized for three days between 20 and 22 November 2012 which consisted of various plenary and parallel sessions as well as field visits. The detailed agenda can be found in Annex II.

2.1 Day I, 20 November 2012

2.1.1 Plenary Opening Session

Opening speech by Ms Hao Xianrong, Division Director, Department of Science & Technology and Education, Ministry of Agriculture

On behalf of Mr Wang Yanliang, Deputy Director-General, Department of Science and Education, Ministry of Agriculture (MOA), PRC and Director General, Rural Energy and Environment Agency, Ministry of Agriculture (MOA), PRC, Ms Hao congratulated on the commencement of the workshop and welcomed all participants from 21 countries including Bangladesh, Bhutan, Cambodia, India, Indonesia, Laos, Myanmar, Nepal, Pakistan, Philippines, Singapore, Sri Lanka, Vietnam Nigeria, the, Rwanda, Tanzania, Burkina Faso, Zambia, Germany, the Netherlands, Switzerland, as well as the

domestic participants and experts from China. She also welcomed SNV, ADB and World Bank representatives. Ms Hao informed that the Chinese government attached great importance to biomass energy and biogas and has highlighted it in the 12th Five Year Plan for National Economic and Social Development. Since 2000, the government is financing and supporting proliferation of biogas plants in rural areas amounting to RMB 31.5 billion. The number of biogas users is now 41.7 million (39.98 million small biogas plants, 80,000 medium sized plants and 90,000 service networks in township and villages). Rural biogas has significantly contributed to the improvement of farmers’ production and living conditions. The Chinese government has also taken up promotion of rural biogas as an industry promoting large scale industrialised production. The emission reduction achieved is also helping to tackle the problem of climate change.

Page 8: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

8

The government of China will continue to focus on rural biogas development policy. Scientific research and innovation will be promoted, and standardization, enterprise development, capacity building for constructer and service providers will be emphasised. International collaboration is also taking place and more of such collaborations are welcome. She wished the workshop a great success. Welcome address by Mr Li Qian, Director General, Biogas Institute of Ministry of Agriculture (BIOMA) Mr Qian welcomed all the participants in Chengdu on behalf of BIOMA. He informed that BIOMA has a faculty of experienced staff in biogas and since 1980 it is organizing trainings in rural biogas to participants from developing countries. BIOMA is highly willing to cooperate with ADB and SNV to facilitate free exchange of the latest findings on domestic biogas and promote academic exchanges. He wished the conference a success. Opening remarks by Mr Jiwan Acharya, Climate Change Specialist (Energy), Sustainable Infrastructure Division, Regional and Sustainable Development Department, Asian Development Bank

Mr Acharya welcomed all on behalf of ADB. He highlighted the importance of the workshop: 1. Taking place in China where almost 40 million biogas plants are made; 2. Biogas collaboration entering a stage where bilateral support and grants are reducing. There is however a need for sustaining the development of the sector of biogas for poor rural population; 3. Commitment from participants is important to determine how we need to move ahead. ADB’s involvement in the area of biogas is steadily increasing. Many projects are on-going and more are in pipeline and expressed ADB’s

commitment to this sector. He also informed that the Working Group on Domestic Biogas under the E4All is the most active partnership within ADB. He recalled that the establishment of credit fund was discussed in international biogas workshop in 2011 (Bandung, Indonesia). Discussion with KfW as a lead is taking place and we will hear more from KfW on the progress in this workshop. He thanked the Ministry of Agriculture and BIOMA and SNV for organizing this workshop. Opening remarks by Mr Wim J. van Nes, Network Leader Renewable Energy, SNV Netherlands Development Organisation Mr Van Nes said that the domestic biogas is one of the possibilities for rural households to get cooking fuel and organic fertilizer with estimates of global potential standing at 155 million. Since 1989, SNV is supporting in setting up national programmes in domestic biogas and by the end of this year 500,000 biogas plants would be installed in 17 countries in Asia, Africa and Latin America. A sector wide approach is required for sustaining such a development involving capacity development of stakeholders. Additionally, it will be required to develop the enabling environment including the policy and regulatory framework to create the playing field level for the service providers in the market. This is an important issue that the participants of this workshop will have to reflect upon. This is the 4th in the series of international workshops on domestic biogas initiated by SNV.

Page 9: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

9

Mr Van Nes thanked the Ministry of Agriculture and its Biogas Institute for all the support provided to organize this workshop. He expressed gratitude towards ADB for supporting the workshop and the Working Group on Domestic Biogas in the framework of the Energy of All Partnership. He also thanked the Netherlands Ministry of Foreign Affairs for supporting the development of the biogas sectors in the developing world.

2.1.2 Plenary Presentation Session: “Spotlight on China”

Ms Hao Xianrong introduced the session, which hosted a series of presentation with a focus on biogas in China. Before that, Mr Fred Marree of SNV made an introduction of the workshop and the planned field visits. Mr Marree presented the workshop rationale and outlined the planned daily programme including field visits, logistics and social events. Objectives of the workshop: 1. Evaluate the performance of national programmes on domestic biogas and to assess the outlook of

these programmes. Expected results: an outline of the main issues, lessons learnt and prospects per country.

2. Present and discuss the latest development and opportunities on key issues related to the transition from biogas projects to national programmes to biogas sectors. Expected results: opportunities mapped for developing and resourcing of biogas sectors on: carbon financing, product development, bio-slurry, credit facilities and the enabling environment.

Domestic Biogas Programme in China. Mr Li Jingming, Secretary General of China Biogas Society. Director Renewable Energy Division, Rural Energy and Environmental Agency, MoA.

Rural energy consumption in China is increasing, but 85-90% comes from traditional sources such as fuel wood, straw and coal. The government is highly supportive, including various supportive laws and legislation; plans such as the Medium and Long Term Programme of Renewable Energy Development Plan and National Rural Biogas Construction Plan. The plans aim for 80 million domestic biogas digesters and 8,000 large scale biogas projects by 2020. There is also increasing emphasis on standardisation for small, medium and large biogas installations as well as training and education of households, community and enterprises. Mr Li also highlighted technical progresses such as in diversity of raw material for biogas, improved fermentation technology, digester designs,

equipment manufacture in country, diversity in application from rural to urban, industrial and transportation. Some of the key problems and barriers in rural biogas development in China are: the high number of policies in existence which creates confusion and the focus seems mainly on infrastructure investment and not on incentives for implementation and end users; the network of service points are not functioning well as many are not ideally located and are not making income from service provision; farmers also do not like to pay for the services in cash; barriers in marketing comes from the fact that

Page 10: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

10

biogas is mainly supplied as cooking alternative and supply to the grid is still difficult; and a proper incentive policy on utilization of bio-slurry is lacking. Reconstruction of Rural Biogas Plants in Earthquake Affected Area of Sichuan Province. Mr Zhou Liao, Assistant Chief of the Domestic Biogas Section, Sichuan Provincial Rural Energy Office, Chengdu, China There are 5.75 million rural biogas plants in Sichuan Province as of October 2012 which is the largest number for a province in China. 524,100 plants got damaged by the earthquake on May 12, 2008, resulting in a loss of RMB 1.6 billion. AFD and IFAD’s preferential emergency loan of USD 80.47 million was made available for reconstruction in sixteen heavily affected counties and construction of 155,300 new biogas digesters. The project was successfully completed in three years. As for the construction technology: digester was made of bricks and cement while the dome was made of mould pressed glass fibre. This required no maintenance and there was no problem of leakages. Gas production increased 26% and time required for construction was also shorter. Biogas service stations were also established at rural areas at village and county level to facilitate availability of appliances and accessories and the prompt provision of after sales services. Results of ADB supported biogas projects in China. Mr Geng Dali, Director, Foreign Economic Cooperation Centre, Ministry of Agriculture, China

The ‘Efficient Utilization of Agricultural Wastes Project’ and the ‘Integrated Renewable Biomass Energy Development Project’ are the two projects funded by ADB. The Efficient Utilization of Agricultural Wastes Project was co-funded by ADB and GEF. The project was launched in June 2003 and was completed in the end of 2009 with a total investment of RMB 565 million. The project focused on the improvement of the mechanism of biomass technology transfer, improvement of farm-to-market facilities, enhancing awareness of environment among the public, piloting poverty focused approaches to biomass development and capacity building. The project set up 19,100 biogas digesters in addition to improving kitchen, toilets and pig sheds. Fifteen medium and large biogas installations were also completed. This helped

generate 13.697 million m3 of biogas resulting in a net reduction of greenhouse gas emission by 86,700 tons CO2e/yr. It has also resulted in annual treatment of 948,600 tons of animal waste and generation of 851,200 tons of sludge and bio-slurry. The Integrated Renewable Biomass Energy Development Sector project aimed at effective utilization of biogas sludge in eco-farming, capacity development for improved sector performance and providing project implementation support.

Page 11: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

11

World Bank Experience on Carbon Finance Operations in Biogas. Mr Tao Wang, Senior Operations Officer, Carbon Finance Unit, World Bank, USA. The World Bank (WB) established the first carbon fund in 2000, and since then the role and activities of the WB in carbon financing is continually evolving. The Carbon Finance Unit has pioneered multiple funds bridging innovation with public private partnerships. Twelve biogas related projects have been realised including three programmes aiming to reduce 10 mega tons of CO2e. Currently, there are projects in China, Thailand, the Philippines and Nepal with new projects being developed in Ethiopia and Nepal. For the WB the key lessons learnt from carbon finance projects are:

Understanding of benefits and challenges in the use of carbon finance;

Importance for the need of good maintenance and solid monitoring system;

A strong Coordinating/Managing Entity (CME) is the key to success of bundled small scale projects and PoAs;

Challenges related to upfront project costs and price variability. There is USD 900 million be managed for a post 2012 carbon fund. The Carbon Partnership Facility, Forest Carbon Partnership, Bio Carbon Fund and Carbon Initiative for Development (two components) for least developed countries are set in place by WB for post 2012.

2.1.3 Parallel session Country Team “What did we learn”

During the following parallel session, twelve country teams were formed in which the teams had to evaluate the performance of the national domestic biogas programme in their respective country. The domestic biogas sectors consisting of a demand side, supply side and enabling environment in the various countries in Asia and Africa are in different stages of development and have to cope with their very specific contexts. For the actors in every country, it will be crucial to ‘learn by doing’. One way of looking at the development of the sector is to review the quality of the sector functions (see sketch below) as well as the level of external financial assistance required to sustain the functions in the sector.

Page 12: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

12

Each country group1, led by a facilitator, conducted a SWOT analysis on the biogas sector per country: SWOT POSITIVE NEGATIVE

Internal Strength (“What are we good at?”) Weakness (“What can we improve?”)

External Opportunity (“What trends we can take advantage of?”) Threat (“What are we competing with?”)

The analyses were guided by two key questions: 1. What are the three most relevant strengths, weaknesses, opportunities & threats of the domestic

biogas sector in our country? 2. What are concrete actions points to overcome the three most relevant weaknesses and/or threats in

the domestic biogas sector in our country?

2.1.4 Plenary presentation session of Country Teams

Mr Kailash Khandelwal from India chaired the plenary session. In the plenary session each country group presented the result of the SWOT analysis in the form of lessons learnt. The summary of the country presentation is presented in Annex III.

Ms Dagmar Zwebe (SNV/Vietnam) summarized on the presentations made and indicated that some of the strengths are weaknesses in other countries. Government commitment in most countries appears to be good but enforcement of policies is weak and is sometimes disturbing market driven approach. Availability of other biogas technologies/designs is being followed in several countries while in some other they are focusing on one single but proven model. Most countries have developed strong national and international networks. New opportunities are being provided by organic farming while use of bio-slurry is still limited. Capacity building and training is a strong component across the countries while trained masons are leaving work and therefore

requires attention. Lack of coordination at stakeholder and donor level was also highlighted in several country presentations. The number of smallholder animal farmers is decreasing in some countries requiring refocusing on relatively larger animal holders. Donor dependency and conflicting subsidy schemes are also issues. Most countries still have little access to micro-finance especially in rural areas. Several countries have effective multi stakeholder platforms while others have weak linkages.

A quantitative analysis of the sector elements (market demand, market supply and the enabling environment) mentioned country SWOTs shows that the weaknesses are mostly related to the market supply side and the threats are mostly related to the enabling environments:

1 Bangladesh, Bhutan, Burkina Faso, Cambodia, China, India, Indonesia, Lao PDR, Nepal, Pakistan, Sri Lanka and

Vietnam

18%

47%

34%

Demand

Supply

Enablingenvironment

27%

23% 50%

Demand

Supply

Enablingenvironment

Weaknesses related to sector elements: Threats related by sector elements:

Page 13: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

13

2.2 Day II, 21 November 2012

2.2.1 Visit to BIOMA and exhibition of Chinese biogas industry

A visit for the participants was organized to the Biogas Institute of Ministry of Agriculture (BIOMA). The visit was organized in six groups and a guided tour was provided by the staff of BIOMA to its various laboratories and facilities related to biogas analysis and testing. A briefing on BIOMA’s activities was also provided using multimedia at the BIOMA conference room.

BIOMA was established in 1979. It’s a sole state-level biogas research institution in China. It is mainly engaged in fundamental research, technical development, project design, demonstration and consultation, domestic and international trainings as well as products’ (appliances) quality inspection in the field of biogas. It is taking a leading place at anaerobic microorganism research area, treatment technology of different agriculture wastes, such as animal dung and straws. BIOMA is devoted to contribute to rural renewable energy development and improvement of rural

ecological environment. BIOMA applies bio-technological methods in agricultural and rural economic development transformation, as well as scientific research and technical promotion for rural energy and environmental engineering. Side by side to the BIOMA visit, participants also participated in the exhibition of the Chinese biogas industry organized at the front yard of BIOMA. In the exhibit many Chinese enterprises and companies involved in manufacturing and marketing of various biogas and other renewable energy related appliances and accessories had prepared display stands. They explained their products to the visitors and distributed promotional materials.

2.2.2 Visit to Yong’an Biogas Management Cooperative (biogas service network)

The Yong’an Biogas Management Cooperative was established in 2007, with government support, and is located in Yong’an Town. The Cooperative provides domestic biogas plant services to approximately 5,000 farmers in Yong’an Township and other townships nearby. The management mode of the Cooperative is characterised by different memberships providing different services to the farmers: (1) ordinary members: fee of RMB 60 per year; (2) membership for full services: fee of RMB 500 per year; and (3) non-membership clients. Ordinary and full services membership can get different kind of free services from the Cooperative. The Cooperative has brought tangible benefits to farmers by its services and been commonly accepted by farmers for its service work. While at Yong’an participants also visited local biogas households and interacted with the plant owners.

Page 14: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

14

2.2.3 Visit Hongqi company in Chengdu

The Chengdu Hongqi Industrial Company is an enterprise engaged in research and development, production, sales and service of digesters made of fibreglass reinforced plastic. They promote several types of fibreglass digesters. The digesters are characterised, among others, by their slightly higher construction costs, fast installation, good performance in air tightness and very little maintenance. The annual output of the fibreglass digesters made by this company has reached 400,000. The company focuses on innovation, development and research of new material, introduction of new equipment, product quality promotion. The company has been recognised with many national enterprise awards.

2.3 Day III, 22 November 2012

2.3.1 Plenary session “Mapping Opportunities”

This session was chaired by Mr Formanul Islam, IDCOL, Bangladesh. Product development of pre-manufactured biogas plants by SimGas BV. Mr Sanne Castro, CEO, SimGas BV, the Netherlands.

Taking the success of biogas from Nepal to Africa but with a product developed to suit and benefit the needs of rural Africa was the focus of the presentation. Every unit of biogas is more of a project than a product and thus had a lot of overhead. It is also a move from one-fits-all to a model of mass customization. Prices are aimed at a return on investment within two years. The installation consists of elongated (cylindrical) and modular one m3 components made of HDPE. The unit is fixed and is underground. Main objective is to provide reasonably cheap, reliable, scalable, easily transportable and easy to install product. Floating drum adapted from the “Arti” model is in market in Tanzania with household kitchen waste as its feed stock. Currently, 350 customers in Dar es Salaam

are benefiting from the technology. The potential to access carbon markets through biogas projects in the Greater Mekong Sub-region: Case studies and training needs. Mr Palitha Ranadewa, Lead Field Researcher FAO study, Sri Lanka The presentation summarises the results of the study carried out by Texas A&M University and FAO focused on the Greater Mekong Sub-region (Research field visits in: Lao PDR - Vientiane Province; Sikhaod, Xaythany, Naxaythong, Pak Gneun and Hadxayphong; and Thailand - Tamboon Prasak Muang district of Lamphun Province).

Page 15: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

15

The objectives of the study were:

To examine the level of understanding among biogas producers, farmers and relevant organizations on the economic, social and environmental benefits of biogas, bio-slurry and bio-slurry compost activities;

To understand the current status and potential of biogas, bio-slurry and bio-slurry compost production in the GMS region and how these activities can be leveraged to access carbon financing.

The study estimated the theoretical potential of bio-slurry production (TP) in this region to be around 683,430,953 tons per year that can replace 2,504,023 tons/year of Urea. Composted bio-slurry theoretically can replace 2 million tons of Urea as compared to a million tons by bio-slurry only. With 50% TP in the research area, the theoretical value of generated carbon credits may amount up to USD 500 million as a result of energy substitution, manure management and fertilizer substitution. During the study it was also observed that most biogas plants are not functioning ideally and are not operating or being operated in their full capacity thereby pointing out towards the need for better awareness raising and training programme and extension services. A brief ceremony to mark the registration and issuance of Gold Standard Credits for biogas programme in Vietnam and Cambodia were organized at the midst of the presentations. Vietnam - On 28 June 2012, the Vietnam Biogas Program has achieved registration under the Gold Standard, the stringent certification standard for projects reducing carbon emissions. In partnership with Nexus-Carbon for Development, the programme is enabled to develop and commercialise Gold Standard certified carbon credits. The expected annual emission reductions are 589,125 tonnes CO2e. The multi-award-winning programme is the first Vietnamese project to register under the Voluntary Gold Standard and the second largest household energy project registered globally. Cambodia - The National Biodigester Programme (NBP) in Cambodia received a certificate representing its second issue of 54,137 Gold Standard VERs. The certificate was presented by Ms Shirley Yuhuan Shen, Gold Standard Foundation, to H.E. Nou Muth, Ministry of Agriculture, Forestry and Fisheries, and Ms Saoleng Lam, NBP. This was the result of the second NBP monitoring report covering the period of September 2010 till December 2011. The average annual emission reduction per biodigester was determined at 4.2 ton CO2 equivalent.

National Bio-digester Program (NBP). Bio-digester loan development and performance. Mr Sean Thorninn, Head of Financial Services, Amret MFI, Cambodia Amret was founded in 1991 to deliver micro-credit to the rural population of Cambodia. It became the first micro-finance institution to receive a micro deposit and taking institution license for the National Bank of Cambodia. At present Amret has 98 offices covering 17 out of 24 provinces and the capital with a total staff of 2,366. Its products and services are credit (individual, solidarity, bio-digester), deposit (saving and fixed) and Inter Branch Monetary Transfer. The outstanding loans as per September 2012 stand at USD 129.3 million with 287,903 active borrowers. Amret MFI

Page 16: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

16

provides loans to households wanting to install bio-digester with the help of the concession loan provided by FMO. The loan size to the household varies from USD 150 to USD 1,000 based on plant construction cost and equipment. The average loan size is between USD 500-600. The interest rate is 1.2% and Amret provides the loan to eligible households based on their eligibility criteria. The loan duration is 3 to 24 months based on client’s real cash flow and repayment is on monthly basis with a grace period of 1-3 months. Out of a total of 4,826 plants constructed in 2012, 3,034 were via loan of which 1,782 plants (59%) was via an Amret loan. Update on the creation of a regional debt fund on re-financing of loans to end-users. Mr Florian Arneth, Senior Project Manager, KfW, Germany Market studies conducted in Pakistan, Nepal, Bangladesh and Vietnam showed market potential for financing biogas. A study in Indonesia is still on-going. KfW submitted a proposal to the German Federal Ministry for Economic Cooperation and Development (BMZ) for a MIFA debt fund to re-finance MFI for financing in local currencies created by KfW, German government, EU and Blue Orchard. Local government commitment, quality control, after sales and medium term growth rate of cattle population are some of the risks that needs to be mitigated through TA. Strong links between the national biogas programmes will therefore be required. Further study is needed to assess demand from MFI and their capability to engage. Which countries have the highest potentials (substrate, interest for loans, repay potential)? Biogas can be included in this MIFA initiative. Enabling environment for the Domestic Biogas Sector in Nepal. Mr Samir Thapa, Assistant Director, Alternative Energy Promotion Centre, Nepal

AEPC’s role was highlighted in facilitating the enabling environment for domestic biogas in Nepal since its establishment in 1996. AEPC plays a key role in facilitating the partnership between public and private actors and is setting up guidelines and standards as well as in subsidy monitoring. The Central Renewable Energy Fund (CREF) is being initiated. Government subsidy is to be increase in the future to 40%. Mr Thapa pointed out that there is a need to diversify to urban areas and larger biogas systems that require innovative technologies and to meet the high demand for credit. As part of policy contribution, AEPC has managed to facilitate the Rural

Energy Policy 2006, Subsidy Policy /Arrangement 2009 (amended), Subsidy Delivery Mechanism 2009 (amended) and the CDM Revenue Utilisation guideline. Mr Thapa further pointed out the need for a focal agency for biogas, code of conduct for private sector, partnership with academic institutes for R&D and an increased focus on impacts. There is also a need for diversification of the private sector towards inclusion of other products in addition to biodigesters.

Page 17: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

17

At the end of this plenary session, Mr. Formanul summarized that efforts are underway to develop scalable, marketable, affordable and durable biogas digesters. Similarly potential of bio-slurry also in terms of carbon credit is huge and the potential of replacement of chemical fertilized is huge as compared to actual that is happening in the field. Excellent loan performance in Cambodia is very encouraging pointing out to the vital role microfinance can play in popularizing biogas technology. It is also clear that government support is vital in any country to promote the domestic biogas sector.

2.3.2 Parallel sessions A-E

Session A: Learning from national domestic biogas programmes in Asia; mapping opportunities for resourcing of biogas sectors from carbon financing. Ms Shirley Yuhuan Shen and Mr Keshav Das Rationale: A number of countries in Asia including Cambodia, Vietnam, Nepal, China, India, Bangladesh and Indonesia have gained specific experience on carbon financing of domestic biogas programmes, both in the compliance and voluntary market. With the end of 2012 approaching, the new rules on offsets guiding the EU ETS, development of new market mechanism, standardised baseline, NAMAs, Japan's Bilateral Offset Crediting Mechanism (BOCM), and emerging schemes in Korea, China and Australia require examination for implications on carbon markets and effects on biogas carbon development. Key-questions:

1 What are the lessons learned from the current carbon finance domestic biogas projects in Asia and what are the good practices for making biogas carbon finance project a success and receiving timely carbon revenues?

2 What will be the future carbon market instruments, which could be the “best fit” to generate sustainable financing for biogas programme?

Various presentations were made during the session focusing the above key questions. Mr Jihua Tang, ID, China, on his presentation “Developing biogas programme in China: Current difficulties and way forward beyond 2012” highlighted that sharing carbon credits is crucial. The sharing mechanism of carbon credits revenues should be based on commercialization and sustainability so that innovative use of carbon revenue for plant installation-up scaling and maintenance can be carried out. Mr Harry Clemens, Hivos, the Netherlands on his presentation “Does carbon finance work for domestic biogas programme in Indonesia: Issues and concerns” stated that data management and quality survey (by project developers and third party) is crucial for making a successful project. Mr Clemens also identified that carbon commercialization is challenging due to the involvement of multiple players in the carbon development process.

Page 18: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

18

Mr Eric Buijsman, Carbon Consultant, on his presentation “Why did we select Gold Standard pathway to develop Cambodian biogas project?” shared that GS-VER pathway is most preferred in the current market situation due to the credibility, applicability, appropriateness of GS-VER pathway and its provision to measure strong co-benefits, retroactive crediting period, GS is easily approachable –less bureaucratic, premium value of carbon credit. Ms Suzanne Chew, Nexus-C4D, Singapore, on her presentation “How did we succeed in GS-VER in Vietnam?” indicated that a strong and robust organization structure for monitoring and data management, programme management is necessary. The organization modality should also be collaborative but not competitive. Mr Raju Laudari, AEPC, Nepal, on his presentation “Mixed success in Nepal: Issuance of biogas carbon credits and why are we delayed in registering the biogas PoA in Nepal?” stated that carbon development needs to be pragmatic. Development of appropriate project design is the key and to manage the carbon project, one should also have strong and robust financial model. Another key is commitment of project proponent and carbon expertise can’t be fully ‘outsourced’. Mr Md. Wahidur Rahman, IDCOL, Bangladesh, on his presentation “Bangladesh’s experience on domestic biogas carbon project development” shared the Bangladesh carbon project development experiences and said that having internal carbon expert is important for successful project development (completely relying on external consultants is not advisable). Besides, he stressed upon the importance of data management and quality survey (by project developers and third party) is crucial. Mr Praveen Urs, TÜV Rheinland, China, on his presentation “Is it rationale to blame DOE for delayed registration and issuance?” identified a few reasons for delayed registration of carbon projects. He indicated that poor quality of consultants, limited understanding of UNFCCC and GS-VERs by project developers, poor technical qualification of DOE/auditors are a few key reasons for delay. Ms Suzanne Chew, Nexus-C4D, Singapore, on her presentation “What will be the future carbon market instruments, which could be the “best fit” to generate sustainable financing for biogas programme” believed that in the current market situation the focus should be on the development of pro-poor project like biogas as there is a promise and future for projects with strong development impacts and co-benefits. The following conclusions resulted from the discussion in this session: Key question 1: What are the lessons learned from current carbon finance domestic biogas projects in Asia?

Carbon development needs to be pragmatic Project design and fundamental should be strong Financial model should be robust Project owners must be committed: carbon expertise can’t be fully ‘outsourced’.

Data management and quality survey (by project developers and third party) is crucial Limited awareness, capacity of project developers, DOEs Reasons for delay

Poor quality of consultant Limited understanding of UNFCCC and GS-VERs by project developers

Page 19: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

19

Poor technical qualification of DOE/auditors DOEs are taking jobs without sufficient human resource Fast changing rules and regulations of UNFCCC Timely actions and avoid delay

Key question 2: What are the good practices for making biogas CF project a success and receiving timely carbon revenues?

A strong and robust organization structure for monitoring and data management, programme management is necessary (collaborative –not competitive).

Have internal carbon expert (completely relying on external consultants is not advisable). VER pathway is most preferred in the current market situation (credibility, applicability,

appropriateness, provision to measure strong co-benefits, retroactive crediting period, GS is easily approachable –less bureaucratic, premium value of carbon credit)

Contextualization: How to apply carbon principles to local context Sharing carbon credits is crucial (commercialization and sustainability –innovative use of carbon

revenue for plant installation-up scaling and maintenance) Share experiences and lessons learned and establish a network for such activity and start

advocacy for promoting and developing pro-poor projects like domestic biogas Key question 3: What will be the future carbon market instruments and what will be the best fit to generate sustainable financing?

Currently, carbon market at the bottom low (poor price and over supply of credits in the EU ETS).

For the next few years VER could be a reliable pathway (Price: up to 11,5 EUR, based on quality and type of project)

Develop pro-poor project like biogas as there is a promise and future for projects with strong development impacts and co-benefits

Financial innovation for domestic biogas Develop hybrid financial model (combining carbon finance, credit financing, insurance credits).

Start activities as market readiness effort to meet the new market mechanism (sector-wide regional project development in biogas and/or national programme development under NAMAs).

Need a common platform for knowledge sharing and start market readiness activities

The parallel session has also acknowledged the formation of the Sub-Working Group on Carbon Financing of Domestic Biogas Programmes under the Energy for All initiative of Asian Development Bank. The first SWG-CF Meeting Sub-Working Group on Carbon Financing was held on November 21, 2012 in Chengdu, China, consisting of practitioners having different nationalities and having technical, commercial, policy and administrative experiences observers from ADB, WB, GS, KfW. The group decided to establish four intervention areas, in which the SWG-CF will start its activities, viz., (a) Technical area, (b) Market evolution, (c) Help desk and (d) Project specific experiences (see graph):

Page 20: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

20

Mr Jihua Tang, Initiative Developement; Mr Harry Clemens, Hivos; Mr Eric Buijsman; UNDP; Ms Suzanne Chew, Nexus Carbon for Development; Mr Raju Laudari, AEPC Nepal; Mr Md. Wahidur Rahman, IDCOL and Mr Praveen Urs, TÜV Rheinland are the members of the Sub-Working Group. Session B: Development of smaller, pre-manufactured and larger biogas plants for productive use Mr Zuzhang Xia and Mr Saroj Rai Participation, Introduction and Presentations The session had around 20 participants from different countries. Mr Zuzhang Xia from the Energy for All Partnership Secretariat, a co-moderator of the session introduced the session making a PowerPoint presentation on the objective. This introductory presentation followed with a 15-minute question-answer session for Mr Sanne Castro from SimGas, the Netherlands, who had a presentation on product development in the plenary session, earlier on that day. Mr Prakash C. Ghimire from SNV Bhutan made a presentation titled “Market Development of Domestic Biogas Plants through Technical Innovation” reporting on updates on the result of the study done by the Expert Group on Technical Innovation under the Energy for All Working

Group for Biogas. This presentation was on behalf of the Group, prepared by Mr Jan Lam and Mr Prakash C. Ghimire, SNV. A series of five presentations were then made by Mr Abdul Gofran, Grameen Shakti, Bangladesh; Mr Zhang Tieyao, Hongqi, China (translated by Mr Wu Libin, BIOMA, China); Mr Bounthavy Sengtakoun, SNV Lao PDR; Mr Khagendra Khanal & Mr Bishnu Belbase, Nepal and Mr Bui Van Chinh, Vietnam.

•Good practice

•Lessons learned

• Tailor-made supports through a web-portal in E4ALL

•Trading

•Policy

•Guidelines

•CDM

•GSV

•NMM

•meths

Technical Area Market

Evolution

Project specific experiences

Help Desk

Page 21: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

21

The presentations covered different types of biogas product development initiatives that are being carried out in different countries to meet different generic or sometimes very local problems like earthquake risk or flooding problem. The designs were ranging from 1 cubic metre plastic bag to 500 cubic metre plastic sheet digesters. Discussion and result The floor was then opened for discussion and question-answer. Mr Saroj Rai, SNV Nepal, facilitated the session and asked some questions to see if conclusions being drawn were in the right direction. For some points like going for plastic digesters that are rather cheap and being promoted as interim solutions, there was a strong difference of opinion. Further discussion continued and the co-moderators closed the session thanking everyone and saying that a report will be drawn around the 3 key questions and other important points discussed and presented in the plenary. The result of the session was thus presented in the plenary. Key questions Conclusions

What are the barriers for product development and commercialisation?

• Awareness among prospective users and their hesitation to go for new products • Cost of new products in comparison to existing designs and other cooking solutions • Insufficient technological knowledge on peripheral areas like in handling siltation, electricity generation, etc. • Financers’ hesitation in financing of new products • Expectation of subsidy (even for commercial projects).

What are the lessons learned and best practices?

• Everything takes time! Go slow and steady! • Difficulty in balancing between speed and quality. • Cost reduction is possible through optimisation of plant designs and use of special materials • Still room for optimizing in plant structure or in use of special techniques or materials • Innovation in promotion like cross-visit of users help to improve effectiveness of awareness among prospective users.

Importantly the group also indicated that learning-sharing in product development is taking place with increasing pace and effectiveness. There is also a need for promoting temporary solutions for short term needs except in situation where it may bring a bad name to biogas and, product development is a process rather than an event.

Page 22: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

22

Session C: Opportunities for the use of bio-slurry Mr Rajesh B. Shrestha Introduction: Mr Rajesh B. Shrestha of SNV moderated the parallel session and introduced the objectives of the session. In addition to biogas, bio-slurry is also an equally important product of a biogas plant. Despite of its immense potential benefits to farm productivity and environmental protection it still remains as a difficult product and even an afterthought in many biogas programmes. Significant work has been carried out in countries like Bangladesh, Cambodia, Nepal, India and China on the management and utilization of bio-slurry. The success stories and practices are yet to be widely disseminated and adopted so that the full potential benefits of bio-slurry are utilized. Rajesh outlined a plethora of potential opportunities in relation to bio-slurry use:

• Sky rocketing price of chemical fertilisers and its adverse effects on soil condition over long term application

• Organic farming gaining popularity and becoming profitable • Organic farming and urban farming provides opportunities for alternate use of bio-slurry and

provides marketing opportunities • Gradually increasing awareness among farming households about the benefit of bio-slurry • Increasing scientific knowledge base and proven field evidence of yield gains and soil

improvement from use of bio-slurry • Increasing portfolio of better slurry management practices becoming available • Most countries where National Programmes on Domestic Biogas is being implemented are

involved in bio-slurry research and application trials adding to the growing knowledge base. Key questions Six presentations were made by participants from respective countries focussing on the following three key questions: 1 What are the strength and weaknesses of bio-slurry and why are farmers still predominantly using chemical

fertilisers?

2 What are the best channels to promote proper management and wider application of bio-slurry (government and private sector) among rural farming households?

3 How best to promote/market bio-slurry for alternate and off farm (packed organic manure urban and peri-urban use, livestock/fish feed additives and medium of growth for mushrooms) use when farmers produce more bio-slurry than they require for their own use?

Mr Rana Amir Shafique, Area Manager of Pakistan Domestic Biogas Programme, Pakistan made the first presentation in which he highlighted the results of the first phase of research on bio-slurry use on some vegetables and cereals in collaboration with the Ayub Agricultural Research Institution. This was in comparison to the use of farm yard manure and chemical fertiliser. Results indicated that bio-slurry can

Page 23: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

23

substitute 50% of the use of chemical fertiliser and still provide very good yield but not 100%. There is still a predominance of use of chemicals due to its ease of use, high concentration of nutrient and effective marketing network. In order to make bio-slurry more popular efforts will be required towards increased awareness raising of farmers as well as of the extension system in the country. Mr Apurba Kanti Chaudhury, Principal Scientific Officer, BARI, Bangladesh stated that on laboratory, on station and on farm tests of bio-slurry were carried out on different crops. He stated that there was an immense potential for the use of bio-slurry in Bangladesh. BARI is also conducting training, extension and demonstration activities in relation to use and management of bio-slurry. More extension and training activities jointly with government, private sector and NGOs is required to promote bio-slurry. Potential is also emerging for the use of bio-slurry in urban agriculture, fish raising and as cattle feed supplement. Mr Phuong Dara from SNV Cambodia informed that 95% of bio-digester owning households in Cambodia use bio-slurry as a result of extension, training, farmer to farmer networking and strong support from the Government. Composting of bio-slurry to enhance its effectiveness is still low among user farmers. He pointed out that more needs to be done in relation to motivation of farmers, Government workers and coordination between many stakeholders such as NGOs. Integration of bio-slurry use even at the policy level must be attempted. Mr Rajeev Munankami, SNV Bangladesh, highlighted the opportunities for alternative application of bio-slurry in Bangladesh. An internal audit carried out in 2012 indicated that 15% of biogas households use bio-slurry without composting, 36% use it after composting, 43% dry it out before use in field and 15 % use it as fish feed. In this audit 36% of the user households also indicated that bio-slurry is difficult to carry to the field. Some of the alternative use of bio-slurry was in the form of fuel (dry into cakes to burn for cooking), shade dried, packed and sold for urban agriculture use and as fish feed. Other possible alternative uses could be for soil conditioning, as a starter for composting, seed pelleting, pesticide application, for algal production, as animal feed, for mushroom cultivation and earthworm rearing. Mr Lok Nath Ghimire, Managing Director, Biogas and Energy Development Company Limited and President Nepal Biogas Promotion Association, Nepal, presented that besides the value of bio-slurry as a high value organic fertiliser it can also be effectively used as pesticides for organic farming. As toilets are connected to a bio-digester in Nepal many farmers hesitate to handle the bio-slurry. He also stated that most often the amount of bio-slurry from the household bio-gas plant is insufficient for total reliance on it. A slurry model village is being piloted in Pokhara, Nepal, to promote wider application of bio-slurry. The approach will be gradually replicated over other regions as well. Use of bio-slurry for urban farming and for organic farming is potential opportunities in Nepal. Mr Tshewang Namgay, National Organic Programme, Department of Agriculture, Bhutan, said that the programme is promoting organic farming as the Government also aims to achieve 100% organic farming in Bhutan by 2020. So far the NOP has been promoting liquid manure from its bio-digesters. Despite of many positive aspects of use of bio-slurry a detrimental aspect could be the large amount of cost involved for farmer to construct a bio-digester in order to get bio-slurry.

Page 24: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

24

Discussion The presentations were then followed by a discussion session. The summary of the discussion was presented by Mr Rana Amir Shafique in the plenary session. The summary is presented below: What are the strengths of bio-slurry? • Demonstrated (scientific and in practice) higher yield in

agricultural productivity • Diverse mode and application • Easy availability of raw materials

What are the weaknesses? • Lack of awareness about the benefit of bio-slurry • Difficulty in management • Social/cultural taboos limiting use (management when

toilet is connected)

Why do farmers predominantly user chemical fertilisers?

• Easily accessible • Ease of application (less quantity) • Highly subsidised • Contents highly standardised • Farmers unaware of negative affect over long term use

What are the best channels to promote bio-slurry amongst households?

• Policy to promote bio-slurry at national level • Farmer to farmer methodologies • Increased involvement of private sector • Media involvement/evidence based advocacy

How best to promote/market bio-slurry for off farm use?

• Make it a viable business case for private sector to market

• Promote and encourage the alternate use of bio-slurry • Promote bio-slurry as an equally important product of a

biogas plant

Any other important result/message? • Value addition in bio-slurry • Linking up with organic branding initiative • NoX reduction potential • Knowledge management and R&D

Session D: Required terms and conditions of credit facilities for biogas households and MFIs Mr Maxime Bouan and Mr Sundar Bajgain Key questions The credit session was started with a brief introductory presentation by Mr Sundar Bajgain, SNV, in which he highlighted the importance of credit facilities in all national biogas programmes. He also facilitated the session presenting four questions to be discussed and come out with the appropriate recommendations. 1. What are the appropriate terms and conditions of biogas credit for households?

2. What are the appropriate terms and conditions of biogas credit for MFIs?

3. What are the lessons learned on biogas credit in terms of availability/sources of funds, loan repayment practices and availability/selection of MFIs?

4. What are the necessary TA requirements for implementing/extending biogas microcredit programs

Page 25: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

25

Presentations were made by participants based on the above four questions. Mr Maxime Bouan from Blue Orchard presented about the planned MIFA credit funds. He presented that the MIFA has the following objectives:

To provide financing (senior and subordinated loans) mainly in local currency on commercial terms to MFIs, especially Tier II and Tier III MFIs, in emerging Asian and Central Asian markets.

Strengthen financial intermediaries and encourage them to lend to MSEs as well as to low income households.

Foster responsible finance principles in the region.

Further develop local financial markets in view of sustainable and market based principles The fund size will be up to USD 100 million and anchor investments will be made by IFC, KfW and the German Federal Ministry of Economic Development and Cooperation (BMZ) and the EU. The main eligibility criteria for receiving the fund are:

At least 1 year of operations

Gross Loan Portfolio > USD 1 million

Financial requirements: o Portfolio at Risk (overdue more than 30 days) ≤ 5% o Annual Write-offs ≤2% o Regulatory Tier 1 Capital ≥ 8% (Banks) / ≥ 12.5% (NBFIs) / ≥ 15% (NGOs, Co-operatives

and unregulated institutions).

The second presentation was from Mr Formanul Islam of IDCOL on the biogas credit system in Bangladesh. As availability of funds for biogas credit is not a problem in Bangladesh and well-structured MFIs are already in place, Bangladesh is in a good position with access to biogas loan. He, however, stressed that quality of digesters and after sales services is important for the repayment of the loan. He further warned that smaller MFIs are vulnerable in making repayments on time and lack of collateral poses a great repayment risk. The third presentation was from Mr Christudas KV, ESAF Microfinance & Investments Pvt Ltd. India. He presented the general practice on biogas credit for small size digesters in India:

Loan amount: Rs 30000/- ($ 535)

Term of the loan: 2 year

Repeatability: option to ‘top up’ after the first year; hence the lifecycle loan is not affected

Insurance: coverage up to total exposure

MFI loan officers/field officers to be trained on monitoring of performance of the digesters.

MFI should conduct periodical review of digesters performances and hold awareness programs.

Page 26: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

26

In his presentation Mr Rajendra Pradhan of SOLVE Nepal proposed that if biogas is attached to the toilet, then there should be a provision of reduced interest rate. The repayment rate on biogas is 99% however, he further recommended to:

Remove the loan limitation barrier

Build the capacity of MFIs including the technical know-how,

Availability of credit funds as required by MFIs with proper monitoring and supervision,

Need a consistent policy on the availability of the credit fund. Only the AEPC has fund for the Bio-gas sector in Nepal.

Need to develop at least one biogas technical person within the MFIs.

Introduction of new and innovative technical options. Mr Iggi H. Achsien, Advisor of Bank Syariah Mandiri, Indonesia, introduced the Bank Syarih Mandiri and its biogas credit programme with the support from UNEP Facet programme. He outlined that micro credit amount can be up to 2,000 USD and duration can be for three years. The interest rate will be 22% of which FACET will subsidize 13% and biogas household need to pay 9% per year. In case of bulk loan managed by MFIs, than the bank will charge only 13% to the MFI and user still pay 9%. There will be no collateral required however; Facet fund will be used for loan guarantee. The sixth presentation was from Mr Souphavanh Keovilay from MAF/BPP, Lao PDR. Although a biogas credit system is not well placed in Lao DPR, some attempts were made in the past to establish a MFI and in operating biogas lending. Discussion After the presentation a discussion session was held and following conclusion and conclusions were drawn. Key question 1: What are the appropriate terms and conditions of credit for households?

Low interest rates (<10% flat) and longer tenor (> 2 years or include refinancing possibility)

Appropriate collateral for MFI and Client: biogas “product” plant as collateral, insurance, household fixed revenue.

Key question 2: What are the appropriate terms and conditions of credit for MFIs?

Specific funding: biogas-friendly investor, appropriate funding to suit the MFI’s business plan.

Subsidized interest rates to accompany sector development

Deal with local currency if fund is received from external source Key question 3: What are the lessons learned on credit?

Quality checks to be done by external party, but MFI must also ensure proper training of clients.

After Sales Service is key to ensure repayment: proper coordination needed with national biogas program.

Subsidy is crucial, but fraud management is key.

Repayment of the credit must come from additional income/savings.

Page 27: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

27

Key question 4: What are the necessary TA requirements?

HR technical training to assess biogas project.

Feasibility studies and product development.

Quality assessment for biogas plants through external party and M&E

Support coordination efforts

Session E: Enabling environment for domestic biogas development Mr Kailash Khandelwal and Mr Anuj Joshi Introduction Domestic biogas programmes are being implemented in a number of countries in Asia including Bangladesh, Bhutan, Cambodia, China, India, Indonesia, Lao PDR, Nepal, Pakistan and Vietnam. The biogas sector development in different countries is at different stages and being a multidisciplinary

subject it might fall across the jurisdiction of more than one ministry or department. Each country made various kinds of interventions and learned lessons with respect to creating an enabling environment in the biogas sector. An enabling environment includes a set of interrelated conditions and practices—including Government regulations, policies and incentives, standards and practices, fiscal, institutional and informational frameworks et al - that impact on

the capacity of all required actors (including private sector and civil society) to engage effectively and sustainably in the domestic biogas sector. Identification of key interventions suited to a further accelerated development would assist the countries in formulating new strategy and action plan. The parallel session was moderated by Mr Kailash Khandelwal, India, and Anuj Dhoj Joshi, SNV Nepal. Discussion Mr Joshi started the session defining and briefly highlighting the importance of an enabling environment for the development of an efficient and effective biogas sector. He shared that there will be country presentations highlighting experiences on the following key questions:

1 What key interventions have been implemented to create an enabling environment for the biogas sector development?

2 What are the lessons learned and good practices for contributing to a more conducive enabling environment for biogas sector development?

There were eleven presentations and the outcomes are presented below: Mr Mohammad Bazlur Rahman, Deputy Secretary, SREDA Cell, Power Division, Ministry of Power, Energy and Mineral Resources, Bangladesh highlighted that an enabling environment does exist but needs to be strengthened. Also, development partners need to play stronger role in the effort of

Page 28: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

28

strengthening the enabling environment. Overall, biogas sector development is getting momentum in Bangladesh. Mr Chimi Dorji, Department of Renewable Energy, Ministry of Economic Affairs, Bhutan provided a brief introduction about renewable energy initiatives in Bhutan and shared how the Department of Energy is supporting the overall sector development. He also highlighted on the evolution of the biogas project in Bhutan. Mr Xavier Bambara, Coordinator, National Biogas Programme, Burkina Faso shared that the switch from traditional donor/product driven projects to demand/client driven programme takes time and effort. Also, promotion needs to be followed by marketing and actual construction without delay. He explained how, in Burkina Faso, the national biogas programme has been able to involve members of the Government and opinion leaders in construction of biogas digesters. Ms Lam Saoleng, Programme Coordinator, National Biodigester Programme (NBP), Cambodia shared the key interventions and lesson learned of NBP Cambodia. The Government, MAFF and MIME have specific actions to promote biogas and support renewable energy sector. For instance, MAFF has put NBP as one of the priority programmes and has established a Steering committee to guide and provide advisory support to NBP. Mr Shi Guozhong, BIOMA, China highlighted about the general situation, Governments attention and different support provided for effective and sustainable development of domestic biogas sector in China. Mr Kailash C Khandelwal, Consultant, India presented the importance of an enabling environment and shared about India’s experiences including the development of the domestic biogas programme. He stressed how poor quality, misinformation and misappropriation as well as mixed experience of NGOs involvement have been a problem. Mr Edi Wibowo, Ministry of Energy and Mineral Resources, Republic of Indonesia presented the overall energy condition (2011) in Indonesia and the biogas sector situation. He shared that the Government of Indonesia is committed to reduce the greenhouse gasses emission to 26% by 2020 and biogas is projected to be one of the priorities to achieve the target of emission reduction. Mr Bastiaan Teune, Sector Leader RE SNV Laos, opined that for creating an enabling environment in a country how national policies need to be in place, agreed, well communicated and enforced as well as at the international level donor harmonisation/basket funding would assist. He shared his experiences and problems faced in practice in the context of Lao PDR. Mr Sajjad Haider, Programme Manager Pakistan Domestic Biogas Programme, Pakistan presented activities that the programme has carried out to support an enabling environment for the biogas sector development in Pakistan. He mentioned that the programme continues to need donor funding and assistance from the Government in the future. Mr Kithsiri Dissanake, Sustainable Energy Authority, Sri Lanka provided an overview of the power sector in Sri Lanka. Biogas technology was first introduced to Sri Lanka in the 1970s but it was mainly on research basis. Most of the biogas units already constructed were abandoned due to poor maintenance

Page 29: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

29

and technical failures. He shared that the state sector participation in promoting biogas system need to be enhanced to tap the potential. Ms Nguyen Thi Minh Nguyet, Coordinator Biogas Programme, Vietnam shared how the Programme has contributed in developing the biogas sector in Vietnam through capacity building, institutionalization and decentralization & outsourcing of QC and training activities commercially. She explained that the Ministry of Agricultural and Rural Development (MARD) plans to reduce 20% total GHG emission (18.87 mil ton CO2) by 2020. Discussion Mr Khandelwal then facilitated the discussions that followed. The following conclusions were agreed upon by the group and Mr Sajjad Haider presented them in the plenary session: Key question 1: Key interventions to create an enabling environment

National policy, standards and regulation

Government support (priority), commitment and incentive for the users (certain % and certain period)

Credit availability through financing institutions at concessional rates

External financers support including donors and carbon credit. Key question 2: Lessons learned and good practices

Nodal organisation to coordinate all RE interventions

Awareness of the whole society

Market mechanism development for the sector

2.3.3 Plenary reporting session

Mr Jiwan Acharya, ADB, chaired the session. Parallel session A - Progress in Carbon Financing was presented by Mr Keshav Das. Session B - Product development of smaller, pre-fabricated and larger size biogas plants for productive was presented by Mr Saroj Rai. Session C - Opportunities for the use of bio-slurry was presented by Mr Rana Amir Shafique. Session D - Required terms and conditions of credit facilities for biogas households and MFIs was presented by Mr Florian Arneth. Session E - Enabling environment for domestic biogas sector development was presented by Mr Sajjad Haider. The presenters were requested to come to the stage and the Chairman asked questions to the presenters: To Mr Das: do you really think carbon finance will work? Answer: In COP 15 Copenhagen the same question was asked. Uncertainties exist but we have to be ready and lots can still be done so that once the market is ready we will benefit.

Page 30: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

30

To Mr Rai: do you really think existing technology can be optimized rather than making a breakthrough? Answer: In reality all were busy in small step wise innovations and optimization but a breakthrough is also needed. New materials are also becoming available that might revolutionise design. To Mr Shafique: what exactly do we need to do to make bio-slurry mainstream? Do you see if more needs to be done? Answer: Bio-slurry is a small component but makes a big difference. If bio-slurry is not properly managed neighbouring household may even complain for the mess it has created. In many cases it is more valuable for farmers than gas as it has the double function of nutrient and soil conditioner and at long term substitute chemical fertilizer. Research results require wider dissemination however. To Mr Arneth: Every year there is a presentation on biogas credit fund by KfW, when exactly will this actually happen? How long will it take to activate the credit fund once it is approved? Answer: It is still under process, discussion with shareholder is going well and additional partners may be joining in. It may be operational in 2013. How much time to activate it after credit fund is approved? The credit fund will be ready to disburse in the first day. To Mr Haider: Certain countries are advanced in promoting biogas, some are in the middle way and some are initiating. Give us some examples of things that countries should not do? Answer: nature and need of each country vary and these factors come into play when we talk about what kind of policy is required. In some areas higher subsidy may be required while in others a more market driven approach may be required but there may be an array of options for each country depending on local conditions.

2.3.4 Update on E4All working group on domestic biogas

Mr Zuzhang Xia, Energy for All Partnership.

Mr Xia introduced Energy for All Partnership to whosoever was new to this network. He introduced E4All partnership as a regional, multi-stakeholder platform for networking, cooperation, sharing experience and lessons, and overcoming barriers and challenges to scale up successful models for energy access in the Asia-Pacific region. E4All goal is to provide access to reliable and affordable modern energy services to 100 million people in Asia and the Pacific by 2015. He also outlined some of the benefits that various partners will avail:

Technology suppliers and entrepreneurs: access to customers, investors, financial institutions

Project developers: access to business development services, advice on project structuring, access to financing, networking

Investors & financial institutions: project pipeline development, knowledge sharing on technologies, business models, financing mechanisms

Page 31: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

31

Donors & development agencies: improved coordination, exchange of best practice approaches, strategies for scaling up access to energy

All: Platform for market/sector development Currently there are 180+ members in the partnership among which 30% are public institutions, 60% private sector and 10% NGOs organized in the themes of cooking and heating, lighting, and electricity. Xia also introduced the E4ALL Domestic Biogas Working group with more than 50 members and facilitated by SNV. Under this working group various training, R&D (such as on fibre glass digesters) and consultations were conducted. The eligibility criteria of organisations to become a member of E4All are:

Helps access to modern energy for the poor in Asia

Willing to contribute to the goal and target of the Working Group on Domestic Biogas

Willing to share information with other WG members Interested organisations and individuals may register online and join Working Group activities: www.energyforall.info

2.3.5 Plenary Closing session

Mr Wim van Nes, SNV, Renewable Energy Network Leader. Workshop results and way forward Wim briefly revisited the activities of the three days of the workshop which were quite interesting and informative.

Mr Van Nes summarized on whether the objective 1 of the workshop (To evaluate the performance of the national programmes on domestic biogas and to assess the outlook of these programmes) was achieved. In general ‘many contextual issues made it hard to copy and paste experience through countries and regions, for example in gender. On the demand side large market potential exists and will continue to exist despite of the changes taking place in culture and life style. He also observed that there is still lack of awareness among the potential biogas households on the full benefit of biogas.

On the supply side, it was felt that there is a need to mobilise strong private sector organisations and perhaps allow for a higher margin of profit in the market. A strong need to mobilise financial institutions to provide credit was also felt essential. Similarly some of the supply side issues pertained to lack of skilled workers in rural areas and the slow speed of R&D and transfer of technology. In relation to the enabling environment, renewable energy/biogas is increasingly being recognized in national policies and through establishment of dedicated government institutes. Regulation and quality assurance is gaining importance and government is also increasingly allocated dedicated budget to this sector. While on the other hand subsidies for fossil fuel and chemical fertilizer still continues to be significant.

Page 32: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

32

Mr Van Nes informed the workshop that 460,716 domestic biogas installations have been set up so far in the 8 Asian countries where the domestic biogas sector programme is being supported by SNV along with its partners. 56,802 installed in 2011 with and operation rate of 90%. As for objective two of the workshop the key observations in carbon financing was that progress is made on CDM registration and VGS projects while all the steps related to carbon financing seem to be complicated, time consuming and costly and that it implies a strong quality control system. A sub working group on carbon financing (SWG-CF) has been established within the E4ALL partnership to facilitate knowledge and experience sharing. On product development, great dynamics in the private sector is being observed in relation to new construction materials, feed stock, exploring of different niches in the market. A need for standardization and certification system is now becoming more apparent. The full potential of bio-slurry is still not been tapped and will require more R&D and extension. There are still difficulties to market the advantages of bio-slurry compared to chemical fertilizer due to its ease of use and management and the accompanying subsidies. Improper management of bio-slurry could be a problem in some areas. As the up-front cost will remain considerable a big need for credit facility will remain. It was hoped that the long proposed regional debt fund may contribute to the fulfilment of this need. Important role is required to be played by the governments to improve the enabling environment for example on policy, regulation and standardisation and M&E. Subsidy of end users continues to remain important to promote RE/biogas.

2.3.6 Evaluation and closing of the workshop

Participants were requested to fill in a questionnaire to evaluate the workshop and its sessions. The result of the evaluation is presented in Annex IV.

Mr Anand Narayan, Selco Foundation, India, presented the closing remarks. He stated that his expectation to get as much information on biogas was fulfilled. He compared this workshop to the ‘Woodstock’ and that it had good reason to continue in coming years. There was an atmosphere where participants freely shared information. Sessions were good and helped gain deep insight on different aspects of biogas. Field visit experience on the second day of the workshop was outstanding and also provided an impression on the execution and biogas in China. Long term potential of the sector is very high as agriculture will not go away and animals will keep on existing. Biogas thus has a strong hope as a source of clean energy. The workshop itself was also meticulously organised. He hoped that all participants will take the blue flame of biogas to their home countries.

Page 33: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

33

Annex I – List of Participants

Name Organisation Job title E-mail address

From Bangladesh:

Mr Bazlur Rahman Power Division, SREDA Cell Deputy Secretary [email protected]

Mr S.M. Formanul Islam Infrastructure Development Company Ltd (IDCOL) Deputy CEO [email protected]

Mr Wahidur Rahman Infrastructure Development Company Ltd (IDCOL) Assistant Director (Technical) [email protected]

Mr Apurba Kanti Choudhury Bangladesh Agricultural Research Institute (BARI) Principal Scientific Officer [email protected]

Mr Abdul Gofran Bangladesh Biogas Development Foundation (BBDF) Chairman [email protected]

Mr Mahmud Ahmed Grameen Shakti (GS) Divisional Manager [email protected]

Mr Ruhul Quddus Rural Services Foundation (RSF) Executive Director [email protected]

Ms Tasnima Siddique Shubashati Vice President [email protected]

Mr ATM Mahbubul Alam Win Sources Limited Managing Director [email protected]

Mr Rajeev Munankami SNV Senior Advisor Renewable Energy [email protected]

Mr Al Mudabbir Anam SNV Advisor Renewable Energy [email protected]

From Bhutan:

Mr Chhimi Dorji Department of Renewable Energy (DRE) Officiating Chief Engineer [email protected]

Mr Tshewang Namgay Department of Agriculture, National Organic Programme Research Officer [email protected]

Mr Dorji Gyaltshen Bhutan Biogas Project Project Manager [email protected]

Mr Kencho Wangdi SNV Member BBP Steering Committee [email protected]

Mr Prakash C. Ghimire SNV Biogas Advisor [email protected]

From Burkina Faso:

Mr Xavier Bambara Programme National Biogaz, Burkina-Faso (PNB) Programme Coordinator [email protected]

Mr Jan Lam SNV Sr. Advisor Biogas, West & Central Africa [email protected]

From Cambodia:

H.E. Nou Muth MAFF, Adviser Chairman NBP Steering Committee [email protected]

Mr Uy Kamal Ministry of Environment, Climate Change Department Head of GHG Inventory and Mitigation Office [email protected]

Mr Sean Thorninn AMRET Head of Financial Services [email protected]

Ms Saoleng Lam National Bio-digester Programme (NBP) Programme Coordinator [email protected]

Mr Phuong Dara National Bio-digester Programme (NBP) Bio-Slurry Extension Officer [email protected]

Mr Petr Schmied People in Need (PIN) Head of Mission to Cambodia [email protected]

Mr Lutz Meyer SNV Consultant Renewable Energy [email protected]

From China:

Mr Li Qian Biogas Institute of Ministry of Agriculture (BIOMA) Director-General [email protected]

Ms Hao Xianrong Division of Energy and Ecology, Department of Science and

Education, Ministry of Agriculture

Director [email protected]

Mr Liang Baozhong Ministry of Agriculture, Information Centre Reporter

Mr Li Jingming China Biogas Society;

Rural Energy and Environment Agency, MoA

Secretary-General, CBS;

Division Chief, REEA

[email protected]

Page 34: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

34

Mr Geng Dali Foreign Economic Cooperation Center (FECC), MoA Division Chief [email protected]

Mr Zhou Liao Sichuan Provincial Rural Energy Office Assistant Chief, Domestic Biogas Section [email protected]

Mr Zhang Tieyao Chengdu Hongqi Industrial Co. General Manager [email protected]

Mr Liu Xin Energy and Environmental Development Research Center (EED) Managing Director [email protected]

Mr Hu Guoquan BIOMA Assistant Director-General [email protected]

Mr Shi Guozhong BIOMA Senior Engineer [email protected]

Mr Hu Qichun BIOMA Director/Research Fellow [email protected]

Ms Zhao Yuexin (Cynthia) BIOMA Deputy Director, R&D [email protected]

Mr Wang Chao BIOMA Senior Engineer [email protected]

Ms Kate Zheng BIOMA Biogas Expert [email protected]

Mr Liu Xiaofeng Chengdu Institute of Biology, Chinese Academy of Science Research Fellow [email protected]

Mr Yan Zhiying Chengdu Institute of Biology, Chinese Academy of Science [email protected]

Mr Gao Lihong Agricultural Engineering Institute

Chongqing Academy of Agricultural Sciences

Director [email protected]

Mr Zhu Jinshan Agricultural Engineering Institute

Chongqing Academy of Agricultural Sciences

Research assistant [email protected]

Mr Wang Guohua Chongqing Rural Energy Office Director [email protected]

Ms He Weiyuan Chongqing Rural Energy Office

Mr Zhu Hongguang Tongji University Associated Professor [email protected]

Mr Xu Rui Yunnan Normal University, Solar Energy Institute Associate Professor [email protected]

Mr Xuan Liu Centre for Sustainable Environmental Sanitation, University of

Science and Technology Beijing

PhD Candidate [email protected]

Mr Jihua Tang Initiative Développement (ID) Carbon Finance Officer [email protected]

Ms Shirley Yuhuan Shen Gold Standard Foundation Regional manager of China & EA [email protected]

Ms Violet Lo Opportunity International China Board Director and Advisor [email protected]

Mr Praveen Urs TUV Rheinland (China) Ltd. Manager AIE & DOE Global Operations [email protected]

Mr Henri Phan TUV Rheinland (China) Ltd. Assistant DOE Manager [email protected]

Mr Xu Lei Beijing Yuanda Carbon Assets Investment and Management Co.,

Ltd.

Project Manager [email protected]

Ms Song Xiaona Beijing Yuanda Carbon Assets Investment and Management Co.,

Ltd.

Project Manager [email protected]

Ms Amelie Xiao WWF China Program Office Communication Officer [email protected]

Mr Zheng Weigang Shaanxi Volunteer Mothers Association for Environment

Protection

Biogas Project Officer [email protected]

Mr Pan Junting Northwest A&F University - Shaanxi

Mr Jin Zita Northwest A&F University - Shaanxi

Mr Michael Li BioEnergy Berlin Environmental Engineer [email protected]

Mr Zuzhang Xia Energy for All Partnership Secretariat (E4ALL) Access to Energy Specialist [email protected]

From Germany:

Mr Florian Arneth German Development Bank (KfW) Senior Project Manager [email protected]

From India:

Mr Anand Narayan Selco Foundation Head, Selco Labs [email protected]

Mr Kailash Khandelwal Consultant [email protected]

Page 35: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

35

Mr Christudas ESAF Microfinance & Investments (P) Ltd General Manager (Energy & Dairy) [email protected]

From Indonesia:

Mr Edi Wibowo Ministry of Energy & Mineral Resources, DGNREEC Deputy Director for Bioenergy, Engineering

and Environment

[email protected]

Mr Eko Bambang Sutedjo MEMR, NTB province (Lombok) Head of Mining & Energy Services [email protected]

Mr Iggi Haruman Achsien Bank Syariah Mandiri (BSM) Advisor [email protected]

Mr Sumino LPTP Manager Biogas [email protected]

Mr Rob de Groot Hivos, Indonesia Domestic Biogas Programme Programme Manager [email protected]

Mr Sundar P. Bajgain SNV Biogas Advisor [email protected]

From Lao PDR:

Mr Phonepasong Sithideth Ministry of Energy and Mines, Institute of Renewable Energy

Promotion (MEM)

Acting Director of Renewable Energy

Development Division

[email protected]

Mr Sithong Phiphakhavong MAF, Department of Livestock and Fisheries Deputy Director [email protected]

Mr Souphavanh Keovilay Biogas Pilot Programme (BPP) BPP Programme Manager [email protected]

Mr Bastiaan Teune SNV Sector Leader Renewable Energy [email protected]

Mr Bounthavy Sengtakoun SNV Renewable Energy Advisor [email protected]

From Myanmar:

Mr Thoung Win Myanmar Engineering Society Chairman Energy & Renew. Energy

Committee

[email protected]

From Nepal:

Mr Samir Thapa Alternative Energy Promotion Centre (AEPC) Assistant Director [email protected]

Mr Raju Laudari Alternative Energy Promotion Centre (AEPC) Manager, Climate and Carbon [email protected]

Mr Khagendra Nath Khanal Biogas Sector Partnership-Nepal (BSP-N) Assistant Director [email protected]

Mr Bishnu Belbase Nepal Biogas Promotion Association (NBPA) Officiating Executive Director [email protected]

Mr Rajendra B. Pradhan SOLVE-Nepal Executive Director [email protected]

Mr Lok Nath Ghimire Biogas & Energy Development Company Ltd Managing Director [email protected]

Mr Anuj Dhoj Joshi SNV Sector Leader Renewable Energy [email protected]

Mr Keshav C. Das SNV Carbon Finance Advisor [email protected]

Mr Saroj Rai SNV Senior Renewable Energy Advisor [email protected]

Mr Rajendra Shakya SNV Regional Head of Administration – SNV Asia [email protected]

From the Netherlands:

Mr Harry Clemens Hivos Programme Officer [email protected]

Mr Fred Marree Fred Marree Consultancy Consultant [email protected]

Mr Sanne Castro SimGas BV CEO [email protected]

Mr Eric Buijsman Carbon Consultant [email protected]

Mr Wim J. van Nes SNV Renewable Energy Network Leader [email protected]

From Pakistan:

Mr Sajjad Haider RSPN/ Pakistan Domestic Biogas Programme Programme Manager [email protected]

Mr Rana Amir Shafique RSPN/ Pakistan Domestic Biogas Programme Area Manager [email protected]

Page 36: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

36

Mr Habib Ur-Rehman BETA Pak Managing Partner [email protected]

Mr Rajesh Shrestha SNV Biogas Advisor [email protected]

From the Philippines:

Mr Jiwan Acharya Asian Development Bank (ADB) Climate Change Specialist (Energy) [email protected]

Mr Darshak Y. Mehta Asian Development Bank (ADB) CDM Validation Expert [email protected]

Ms Fely V. Arriola Asian Development Bank, Energy for All Secretariat Access to Energy Expert [email protected]

Ms Clarissa M. Dimaculangan CARD Business Development Service Foundation Sr. Program Manager [email protected]

From Singapore:

Ms Suzanne Chew Nexus-Carbon for Development Alliance Director [email protected]

From Sri Lanka:

Mr Palitha Ranadewa (tbc) Ministry of Economic Development Senior Program Manager [email protected]

Mr O. Kithsiri Dissanayake Sri Lanka Sustainable Energy Authority (SLSEA) Chairman [email protected]

Mr K.D.N. Weerasinghe Lanka Biogas Association (LBA) Vice President [email protected]

From Switzerland:

Mr Maxime Bouan BlueOrchard Finance S.A. Analyst [email protected]

From Tanzania:

Mr Innocent Mjema CAMARTEC Principal Research Technologist [email protected]

From USA:

Mr Tao Wang World Bank, Carbon Finance Unit Senior Operations Officer [email protected]

From Vietnam:

Mr Nguyen Xuan Duong MARD, Department of Livestock Production Deputy Director [email protected]

Ms Pham Thi Kim Dung MARD, Department of Livestock Production Deputy Head of Planning and Finance

Division

[email protected]

Ms Nguyen Thi Minh Nguyet MARD, Biogas Program Division Program Coordinator [email protected]

Ms Nguyen Thi To Uyen Vietnam Biogas Association (VBA) Business Development Coordinator [email protected]

Mr Bui Van Chinh Vietnam Biogas Association (VBA) Member Steering Committee [email protected]

Ms Thi Ngoc Linh Duong TYM General Director [email protected]

Ms Dagmar Zwebe SNV RE Advisor/Program Leader [email protected]

From Zambia:

Mr Lewis Mupeta Bangwe African Development Bank (AfDB) Agricultural Specialist [email protected]

Page 37: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

37

Annex II – Workshop Agenda

International workshop

“Learning from national domestic biogas programmes in

Asia; mapping opportunities for developing and resourcing

of biogas sectors including carbon financing”

20-22 November 2012, Art Senses Hotel and Place, Chengdu,

PR China

Agenda

Monday, 19 November 2012:

20.00-21.30 Welcome reception (drinks & light snacks) at Art Senses Hotel and

Place, Binfen Hall

Tuesday, 20 November 2012:

08.00-09.00 Registration, Art Senses Hotel and Place Ms Rachel Qiu Kun

Ms Fely Arriola

Mr Rajendra Shakya

Mr Fred Marree

Plenary Opening Session facilitated by Mr Zuzhang Xia, Energy for All Partnership, Asia

09.00-09.45 -Opening address by Mr Wang Yanliang, Deputy Director

General, Department of Science & Technology and Education,

Ministry of Agriculture, China

-Welcome address by Mr Li Qian, Director-General, Biogas

Institute of Ministry of Agriculture, China

-Opening remarks by Mr Jiwan Acharya, Climate Change

Specialist (Energy), Sustainable Infrastructure Division,

Regional and Sustainable Development Department, Asian

Development Bank

-Opening remarks by Mr Wim J. van Nes, Network Leader

Renewable Energy, SNV Netherlands Development Organisation

-Group picture

Ms Hao Xianrong

Mr Li Jingming

Mr Qu Feng

Ms Yan Long

Page 38: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

38

09.45-10.15 Tea/coffee Break

Plenary Presentation Session “Spotlight on China!” chaired by Ms Hao Xianrong, Ministry of Agriculture

10.15-10.25 Introduction to the Workshop Mr Fred Marree

10.25-10.45 Domestic Biogas Programme in China, by Mr Li Jingming,

Secretary General of China Biogas Society

10.45-11.00 Video programme: “Innovative Services for Consolidate

Development – A Glimpse of Biogas Service Systems in China”

11.00-11.20 Development of Rural Biogas to Boost the Earthquake Disaster

Area Reconstruction in Sichuan Province, by Mr Zhou Liao,

Assistant Chief of the Domestic Biogas Section, Sichuan

Provincial Rural Energy Office, Chengdu, China

11.20-11.40 Results of the ADB supported biogas projects in China, by Mr

Geng Dali, Division Chief of Foreign Economic Cooperation

Center, Ministry of Agriculture, China

11.40-12.00 World Bank Experience on Carbon Finance Operations in Biogas,

by Mr Tao Wang, Senior Operations Officer, Carbon Finance

Unit, World Bank, USA

12.00-13.00 Lunch buffet

Parallel Sessions (Country Teams) “What did we learn?”

13.00-15.30 Learning from the development of the domestic biogas sector in

Bangladesh, Bhutan, Burkina Faso, Cambodia, China, India,

Indonesia, Lao PDR, Nepal, Pakistan, Sri Lanka and Vietnam

In Conference Hall except China

team in room VIP 6

15.30-16.00 Tea/coffee Break

Plenary Reporting Session chaired by Dr Kailash Khandelwal, India

16.00-17.30 Reports by the Country Teams on the outcomes of the Parallel

Sessions, followed by plenary discussion

Country Team Reporters

Ms Dagmar Zwebe

18.00-19.30 Dinner buffet at Art Senses Hotel and Place

Wednesday, 21 November 2012:

08.30-09.00 Drive from hotel to BIOMA Mr Fred Marree

09.00-11.30 Visit BIOMA and an exhibition of the Chinese biogas industry

11.30-11.45 Walk to Taoranju Restaurant

11.45-13.00 Lunch

13.00-13.30 Drive to Yong’an Township, Shuangliu County

13.30-15.00 Visit two biogas plants and one biogas service network in Yong’an

Township

15.00-15.30 Drive to Hongqi Company

15.30-17.00 Visit Hongqi Company – mass production of fibreglass biogas

plants

17.00-17.30 Drive to Baguo Buyi Restaurant

17.30-19.30 Dinner

19.30-20.00 Drive back to hotel

Page 39: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

39

Thursday, 22 November 2012:

Plenary Presentation Session “Mapping Opportunities” chaired by Mr Formanul Islam, IDCOL, Bangladesh

09.00-09.20 Product development of pre-manufactured biogas plants by

SimGas BV, by Mr Sanne Castro, CEO, SimGas BV, the

Netherlands

09.20-09.40 The potential to access carbon markets through biogas projects in

the Greater Mekong Sub-region: Case studies and training needs,

by Mr Palitha Ranadewa, Lead Field Researcher FAO study, Sri

Lanka

09.40-09.50 Ceremony to announce the registration and issuance of Gold

Standard credits for biogas programmes in Cambodia and Vietnam

09.50-10.10 National Bio-digester Program (NBP). Bio-digester loan

development and performance, Amret MFI, Cambodia, by Mr

Sean Thorninn, Head of Financial Services, Amret MFI

10.10-10.20 Update on the creation of a regional debt fund on re-financing of

loans to end-users, by Mr Florian Arneth, Senior Project Manager,

KfW, Germany

10.20-10.40 Enabling environment for the Domestic Biogas Sector in Nepal, by

Mr Samir Thapa, Assistant Director, Alternative Energy

Promotion Centre, Nepal

Parallel Sessions (including tea/coffee)

10.45-13.00 Session A: Progress on carbon financing of domestic biogas

programmes (in Conference Hall)

Ms Shirley Yuhuan Shen

Mr Keshav Das

Session B: Development of smaller, pre-manufactured and larger

biogas plants for productive use (in VIP 6)

Mr Zuzhang Xia

Mr Saroj Rai

Session C: Opportunities for the use of bio-slurry (in VIP 2) Mr Rajesh Shrestha

Session D: Required terms and conditions of credit facilities for

biogas households and MFIs (in VIP 5)

Mr Maxime Bouan

Mr Sundar Bajgain

Session E: Enabling environment for domestic biogas development

(in VIP 3)

Mr Kailash Khandelwal

Mr Anuj Joshi

13.00-14.00 Lunch buffet

Plenary Reporting Session chaired by Mr Jiwan Acharya, Asian Development Bank

14.00-15.30 Reports on the outcomes of Parallel Sessions, followed by plenary

discussion

Session Reporters

15.30-15.45 Update on E4ALL Working Group on Domestic Biogas Mr Zuzhang Xia

15.45-16.15 Tea/coffee Break

Plenary Closing Session chaired by Mr Wim J. van Nes, SNV

16.15-16.30 Workshop results and the way forward

16.30-16.45 Evaluation All

16.45-17.00 Closing of the Workshop Participant

17.00-18.00 Farewell drinks at Art Senses Hotel and Place

Page 40: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

40

Annex III - Summary of Country Presentations

Country Strength Weakness Opportunity Threats Action points to overcome weakness

Action points to overcome threats

Any other important message(S)?

Bangladesh Tremendous Potential available

Extensive network of local organisations

Government ownership is increasing

Lack of adequate demand

Lack of sector coordination

Social and cultural barriers

Lack of awareness

Agrarian Society

Increasing demand of organic fertilizer

Favourable Climatic condition

Availability of Climate Funds

Diverse Technology available globally

Livestock holdings/ household decreasing

High subsidy to alternatives (Natural gas,

Fertilizer, kerosene….)

Increasing natural calamity

Decreasing donor fund

Create enabling environment

Awareness Campaign

Capacity Building

Emphasize on diverse use of Bio-slurry

Diversify the technology choices

Quality, quality and quality….

Explore fundings

Increase private sector involvement

Lobby and liaison with External Development Partners

Sufficient scientific data available on

impact of bio-slurry

The program is at slow pace, but at right direction

Bhutan • Government support • Good institutional set-up • Competent men-power at central level

• Skilled man-power shortage (supervisor and masons) • High drop-out rate of trained masons • No systematic M & E system/approach • Peoples’ perception on adoption and

• Access to micro-finance Financial Inclusion Policy being developed • Institutionalization of Bio-gas capacity building programs to existing institutes

• Donor dependence • Competition with other sources of energy • Policy direction changes and new government

• Dedicated staff at district level complemented by capacity building programs • (i)Set-up clearer selection criteria (ii) Formation of Bio-gas company/mason group with business outlook • (i)Integrate in over all govt. M&E

• Strong Renewable Energy Policy

Page 41: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

41

performance of the technology

• Good demand of bio-gas units

systems (ii) Develop clear project based M&E system and approach • Promotion, advocacy, demonstration and awareness programs

Country Strength Weakness Opportunity Threats Action points to overcome weakness

Action points to overcome threats

Any other important message(S)?

Burkina Faso • Positive role of Government in steering and contributions, domestic biogas is now part of the 2011-2015 Government policy for sustainable development; • Working trough a national network of implementing partner organisations; • The programme has been able to reduce construction cost for 6m3 plant from USD 1,100 to USD 800. Further reduction is possible.

• Lack of access to affordable credit for potential biodigester owners; • Expensive programme set-up; • Quality monitoring and enforcement system for construction, appliances and A.S.S., Dbase management.

• Large technical potential; • Bio-fertiliser recognised as a valuable commodity by the male household heads; • Farmers are often well organised in different groups, i.e. union of cotton growers, which can become effective marketing channels.

• Overall lack of quality consciousness by producers of goods and services; • People (clients, service providers, Government, …) are used to traditional development projects; • Lack of entrepreneurial spirit at village level.

• Set-up a credit product through rural MFI’s • Performance based incentives for implementing partners • New Dbase system and a split between service providers and QC.

• QC, QC, QC; • Client focus instead of product focus at all levels of the programme/sector • Creating an enabling environment for (potential) entrepreneurs

• It takes time but we will get there!

Page 42: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

42

Country Strength Weakness Opportunity Threats Action points to overcome weakness

Action points to overcome threats

Any other important message(S)?

Cambodia • Govt. policy supporting biogas • Credit (MFI) available for biogas • Gold Standard registered

•Standardization should be done •Institutionalise NBP and Biogas sector •Increase awareness about biogas and include biogas into educational system

• Biogas included in 1st NAMA • Biogas sector be self-financed by VERs • Political decisions will increase demand (for medium/large scale)

• Trend of increased funding of other REs • Inability to maintain capacity / HR, due to competition with better paying sectors • Carbon price volatile

• Establish biogas standard • Set-up work group • Establish legal structure through dialogue with main stakeholders • Discussion with educ. stakeholders • Internships • Mass media awareness

• Build a strong business case • Be involved in discussions GCF/CIF • Explore ways to retain masons (e.g. increase wages, stabilise employment) • Measurement and market project impact

China • Varity in:

source: manure, waste straw, kitchen waste, etc;

many fields in countryside, school, etc;

energy, environment and economic development • Industrial nearly to be developed

universities, research institutes, etc.

project design and

• Operation unsustainable

system is not well development and marketable

winter in northern china is difficult

development bring to the new challenge • Deeply relying on the government

support mainly relying on the government

¡E More attention to biogas development from government „« Marco attention from the central government since the 18th communist party conference „« Policy and regulatory framework is being developed ¡E Additional benefit extend to more aspects

• Safety for the constructed biogas • Rural urbanization • Scaled up Livestock farm

. Improve the awareness of the biogas development benefit for the rural area in the whole society . Improve the governmental subsidy application approach •isubsidy in end user driven), . Diversified Financial support . Marketable mechanism can be incorperated in the construction and operation

• Rural centralized biogas supply in rural area • More attention to the capacity building for the governmental officials, operators, etc. in the aspects like safety… • Develop biogas service system

Page 43: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

43

construction

innovation for different regions, materials, etc. • Systematic Policy and regulatory framework

policy and financial support

cooperation Standard in

technology, equipment, etc,

input is not sufficient, the financial input is inefficient.

develop biogas is not • Industrial development is not scaled up

innovation lake of the self-motivated

access the industrial is low

„« Food safety needs „« Cost increase in fertilizer and pesticide „« Benefits to the GHG reduction to get other potential financial support ¡E Industrial development quickly to provide the better service

Country Strength Weakness Opportunity Threats Action points to overcome weakness

Action points to overcome threats

Any other important message(S)?

India • Market potential exists • Government and other support is available • Institutional capacities are available

• Lack of capacity and commitment from the private sector • Poor implementation (i.e. lack of external QC) resulting in non-functioning biogas plants • Lack of willingness among banks/MFIs to

• LPG subsidies are being reduced • Presence of MFIs and financial intermediaries in rural areas is increasing • Availability of alternative feedstock and new technologies

• Changing government priorities/support • Lack of skilled workers in rural areas • Declining number of cattle keeping small-holders

• Identification, training, accreditation, provision of working capital to private sector organisation • Set-up of an independent body for quality assurance • Technical assistance to banks/MFIs to create awareness on biogas and develop appropriate financial products

• Evidence-based advocacy • Application of technologies requiring less skilled workers/provide higher incentives to skilled workers

• Poor transfer of technology and knowledge from research institutions to the field

Page 44: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

44

provide loans to biogas households

Indonesia • High quality and standardise digesters • Sector development/ multi- stakeholder approach • Capacity development of local partners

• No clear government subsidy policy on biogas • Credit is not accessible to all • Low biogas awareness among potential users

• Credit funding availability • Increasing market/ increasing cattle population • Government priority on clean energy technologies

• High fuel (LPG) subsidy • Free and poor quality digesters promoted by other organizations • Increasing biogas costs

• Ministry of Energy will initiate further on making clear subsidy policy • Close cooperation with Local bank and FACET • Bigger role will be played by local partners on biogas awareness

• Getting mandate from government to monitor and qality control of free and poor quality digesters • Setting up a biogas association • More R & D will be carried to reduce the costs

Country Strength Weakness Opportunity Threats Action points to overcome weakness

Action points to overcome threats

Any other important message(S)?

Lao PDR • Biogas policy in place • Strong implementation network • Robust technology in place

•Lack of capacity providing proper after sales services • Lack of capacity of slurry support to farmers •Commitment staff and masons

• Donor support opportunities • Access to credit for farmers • Organic farming is popular

• Donor finance dependency • Relative high investment costs vs benefits •Coordination of biogas initiatives between Lao Gov institutions

• Independent ASS provider/ energy service point • More manpower for slurry support • Staff: enforcing policies. Mason: centre around good masons

• ASS imperative for long term operation digesters • Biogas sector not (yet?) to become commercial viable • Laos biogas pilot programme (BPP) achieves 3,000 digesters

Nepal 1. Integrated and proven modality-policy, PPP implementation, monitoring 2. Established carbon finance mechanism.

1. Focus on singular product design-appliances, feedings. 2. Limited availability of micro credit

1. New innovative designs coming up with cost reduction, multi-feed etc. 2. Carbon revenue for the

1. Subsidized Fossil Fuels-LPG, Kerosene 2. Increasing Rural to Urban Migration 3. Decreasing Cattle Holding Households 4. External Migration of Masons

• Product/market diversification with R & D. • Increase profitability of MFIs. • Build capacity and number of MFIs for biogas credit

• Make domestic biogas cheaper • Introduce urban biogas products •Develop/promote non-dung based biogas • Improve working

Page 45: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

45

3. Government's priority one program 4. Quality control mechanism-ISO certified QC system, Internal Quality Control mechanism within the private sector.

3. Weak follow up support for repair/After Sales Service 4. Limited R&D in technology and modality

sector sustainability 3. Market expansion to new segments and products under the new programs – namely NRREP and SREP

(Overseas) • Decentralize service provision at the local level • Increase activities on adaptive R&D, (including for modality)

condition, including financial benefits for masons • Improve career growth prospects with further training, promotion/responsibility.

Country Strength Weakness Opportunity Threats Action points to overcome weakness

Action points to overcome threats

Any other important message(S)?

Pakistan • Proven environment friendly technology which is socially and economically viable • Easily available local materials and labour • Increasing trend of enterprises able/interested in domestic biogas sector.

• High up front cost of biogas plants and lack of financing mechanisms beyond the capacity of poor rural farmers • Limited biogas friendly policy resulting in among others, unsustainable subsidy practices • Limited emphasis on quality, after sales and standardisation due to lack of a national QC body

• Income generation opportunities from both gas and manure • Grass root level govt. extension system may be utilised for biogas outreach • Resource mobilisation opportunities through donors and CDM

• Closed settlement pattern in rural areas • Cultural system limits access to women • Regular natural disasters (flood)

•R&D on cheaper but equally effective design/technology. •Involvement of MFIs and availability of biogas credit funds. •Encourage government to come with friendly policies and coordination mechanisms. •Set up a QC body and a sound capacity building programme

•Develop more compact designs and/or provide solutions beyond just kitchen use (water pumps) •Seek increased involvement of women extension workers and trainers.

•Continued access to SNV knowledge network.

Page 46: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

46

Sri Lanka •Government’s policy on environment protection and organic farming •Reasonable market in the country (technical feasibility – 100,000+ and effective potential 60,000+) •Willingness and interests of stakeholders (provincial government, banks, Lanka Biogas Association, Sri Lanka Sustainable Energy Agency etc.) to participate

•Low consumer confidence on the technology because of failure of past initiatives and low level of public awareness •Lack of effective coordination between stakeholders operating in the sector •Difficulty in getting outside financial support to commence biogas project

•Organise consultative meeting of potential stakeholders – Lanka Biogas Association (Part of the Fund allocated – People in Need, Practical Action, Sustainable Energy Authority) •Lobby/ advocate for the establishment of a strong coordinating body – LBA, PA and PIN. •Seek for investments (from government as well as outside) for promotion, awareness building, capacity building, quality management, private sector development, extension, R&D. Specially for Awareness building – at

Page 47: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

47

policy level as well as grassroots to facilitate policy support – LBA, PA, PIN

Country Strength Weakness Opportunity Threats Action points to overcome weakness

Action points to overcome threats

Any other important message(S)?

Vietnam • >10 years of household biogas program • Availability of affordable biogas technologies and cooking appliances • Registered VGS project

• Lack of ‘and’ scattered national biogas experts • QC & M&E is not market orientated / commercially driven • Awareness of biogas (besides cooking/lightning) and bioslurry use (only 40% of hh) is limited

¡E Large number of hh farmers (4 million) ¡E Long term commitment from the Government for the biogas industry development ¡E Availability of resources for biogas development : (low-cost materials, hard working attitude)

• Weak coordination and competition between biogas program on all levels

DGIS/SNV + others • Changing conditions for external funding (due to new status of middle income country)

credit market • Governmental push for larger scale livestock raising

• Strengthen the capacity of the VBA so they can play a coordinating role in the industry • Start a research (initiated by VBA / BPD / SNV?) to identify how QC & M&E can be executed in a more market driven way. • In cooperation between programs (ADB/WB/BPD/SNV) launch a national mass media promotion campaign.

• Continue dialogue between multiple stakeholders • Explore opportunities to new / innovative financial mechanisms. Continue to pursue new opportunities to limit dependency on one donor/source • Adapt the technology and approach to serve the medium scale market.

Page 48: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

48

Annex IV - Result of the workshop evaluation

Poor Fair Good Very good 1 How do you evaluate the design of the Workshop agenda? - - 40% 60% 2 How do you evaluate the Opening session on 20/11? - 3% 71% 26% 3 How do you evaluate the plenary presenations on 20/11? Mr. Li Jingming (about biogas in China) - 5% 74% 21% Video programme 4% 23% 59% 14% Mr. Zhou Liao (about biogas in Sichuan province) - 15% 67% 18% Mr. Geng Dali (about ADB supported biogas projects) - 15% 66% 19% Mr. Tao Wang (about carbon financing) 2% 14% 57% 27% 4 How do you evaluate the learning session on 20/11? Country Parallel Sessions - 9% 43% 48% Plenary Reporting Sessions - 4% 58% 38% 5 How do you evaluate the BIOMA visit and exhibition and field

visit on 21/11? BIOMA visit and exhibition - 8% 40% 52% Field Visit - 14% 34% 52% 6 How do you evaluate the plenary presentations on 22/11? Mr. Sanne Castro (about product development) 1% 8% 49% 43% Mr. Palitha Ranadewa (about carbon and bio-slurry) 14% 23% 48% 15% Mr. Sean Thornin (about biogas credit facility) - 10% 57% 33% Mr. Samir Thapa (about enabling environment) - 8% 58% 34% 7 How do you evaluate the parallel sessions on 22/11? Session A: Carbon Financing - 4% 52% 44% Session B: Product development 4% 9% 52% 35% Session C: Bio-slurry - 8% 63% 29% Session D: Credit facilities - 4% 65% 31% Session E: Enabling environement - 6% 54% 40% 8 How do you evaluate the plenary reporting sessions on

22/11? - 6% 51% 43% 9 How do you evaluate the preparation (information,

communication) and facilitation of the Workshop? - 4% 45% 51% 10 How did you appreciate the hotel arrangement? 1% 30% 37% 32% Not

useful Moderate Useful Very useful

11 How useful has this International Workshop been for you? - - 32% 68%

Page 49: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

49

Qualitative comments received from the participants on the international biogas workshop from 20 to

22 November 2012 in Chengdu, China, and response by the organisers

Comment Number of comments

Response by organisers

Plenary presentation session on 20/11/2012:

No English translation or subtitles provided in the video programme: “Innovative Services for Consolidate Development – A Glimpse of Biogas Service Systems in China”.

6x This video was just produced by the Chinese Ministry of Agriculture and proved to be the best available video. In the limited available time, it proved to be impossible to manage the translation/sub-titling. A script summary in English, however, was included in the workshop file.

The presentation on carbon financing was long. 1x The presentation was indeed longer than anticipated but worth to consume more time in the view of the chairperson of the session.

Learning session on 20/11/2012:

-Find ways to consolidate reporting as it is time intensive; -Not clear guidance so short writing, difficult to explain; -Focussed presentation by presenter could add value.

3x Agreed that it was a challenge to have 12 country presentations in a row. Overall, we are quite happy, however, with the results as it nicely shows the similarities and differences between the countries. We will try to further reflect on the results in the workshop report.

Plenary reporting session on 22/11/2012:

-Bio-slurry and carbon were good; -Each presentation to be separately discussed.

2x The real discussion was in the parallel sessions to which everybody was free to subscribe. Plenary discussion with so many participants (with different backgrounds) is always a challenge. The chairperson applied very well a mix of questions from the audience and own questions to address the most critical issues.

Hotel arrangement:

-Rooms good, WiFi not so good; -No cell phone signal, no hot water in morning; -Terrible location and food; no English; -Located in desolate areas; -If only the hotel was closer to town! -Hotel was completely out of place. Would have been better if it was more in town; -The venue should have been closer to the city; -Hotel far from City center; -English communication is a problem for hotel staff; -Venue too far from down town. Hotel staff-large problem; -Savings at wrong end.

11x We agree that the hotel had some specifics including its location in town. In the selection of the venue weight was given to the quality of the conference hall, (meeting) rooms, price and absence of traffic jam. The latter is pretty heavy in down town. The organisers regret in particular the annoying and long taking check-in of some of the ADB and SNV non-sponsored participants. We also acknowledge the poor communication skills in English of staff at the reception desk and some problems with the cell phone signal and Wifi.

Other comments, suggestions, complaints:

-Hope to have more informative ideas and not repeat the programmes of the past. Also evaluate on what has been done at the end of the year about the discussion in the previous workshop; -This workshop is not a stand-alone event but

4x -Naturally, there is a history in all biogas programmes in Asia and hence some repetition cannot be avoided; -It is agreed that more could have been done on the evaluation of the results and recommendations of the previous workshops;

Page 50: Report of the International Workshop on Domestic Biogas, 20-22 Nov 2013, Chengdu, PR China

50

the 4th in a row. The linkage and progress, follow up with previous workshops was a bit missing; -Need to develop follow up of way forward for each country to avoid making promises repeatedly; -Need to broaden the scope and make it different next time.

-We believe that each and every participant within his/her own environment is eventually responsible for the use of the knowledge and experience made available by the workshop; not the organisers; -We will definitely consider to make the next workshop more effective next time.

-Please consider moving the parallel session to day 1 for more knowledge sharing; -Lacking focus in private sector development; -Better have plenary sessions on first day to converge people with same interest; -Carbon and bio-slurry presentation have many figures but less time; -Time allocated very limited; -Some ideas/discussion was not talked about.

6x -Agenda setting and time allocation are to some extent always arbitrary, as there are so many interesting topics. It finally also depends on the background of the participants. -There was indeed no specific session on private sector development in this workshop, but we had these in the past.

-ADB payment was confusing; -ADB communication was confusing.

2x The ADB guidelines are very clear on what is covered and not covered through the sponsorship. Apology if this was not communicated well.

-It could have been much better if the participants were given some pocket money to attend to daily affairs; -Please make necessary arrangement to pay the DSA during registration. Most participants faced severe difficulties without money.

2x The ATMs and/or banks were indeed not close to the hotel and shuttle bus service to shopping centre limited. DSA payment procedures differ from one organisation to another and may not include payment upon registration.

-Reception by the organisers at which I have to pay for my drinks remains an unforgettable experience.

1x The soft drinks were offered by the organisers; not the spirits.

-Pay more attention to food limits of participants (Muslims, vegetarians); -Most food in Chengdu was salty.

2x We did our very best to pay attention to the provision of a variety of food to somehow satisfy the preferences of the participants. We tried to arrange separate tables for Muslim and vegetarian food in the day 2 restaurants. Our apology where we failed.

-In a country with a big language barrier, English to Chinese translations, dictionaries should be given to participants.

1x

-External issue: flight totally delayed! 1x This is always a pity.

-Hope to set up an online network to share like linked-in.

1x That would be great, but will require moderation.

-Many thanks to organisers for such useful workshop. Great success; -Congratulations; -Please make it continue; -I will be back; thanks; -Outstanding organisation. Very useful, thanks; -Excellent learning. Hope to participate in the next workshop. -The workshop was very fruitful and expect is continuation.

7x Thank you.