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Increasing Access to Energy for poor and rural development Dr. Jyoti Parikh IRADe 28th July 2006 Integrated Energy policy approach to Energy General Principles of IEP • • • IEP addresses issues such as energy security, access and availability, affordability and pricing, efficiency and environment. Provide Lifeline energy needs of vulnerable households in all parts of the country Use safe, clean and convenient forms of energy at the least cost in a technically efficient, economically viable and environmentally sustainable manner IEP and Energy for Sustainable Development “Lifeline” energy inputs viz. electricity and clean cooking fuel responsibility of Govt. “Lifeline” consumption may require only about 3% of the projected net electricity requirement by 2031-32 IRADe contributed with a strategy paper. Current Energy Scenario in India Census 2001 625 million people in the country do not have access to clean fuels such as LPG etc. 296 million population do not have access to electricity 94 million people have access to both LPG and Kerosene “People without fuels much larger in number than without electricity” Current Energy Scenario in India Census 2001 LPG use in only 5% of rural households and 44% of urban households Kerosene used in 22% of urban households and 2.7% of rural households for cooking. 314 million tonnes of bio-fuels are gathered annually. Problems associated with dependence on fuelwood (J.Parikh et al survey) 85 million households spend 30 billion hours annually in fuelwood gathering. Drudgery due to carrying heavy loads. Indoor Air Pollution Obstacle in realizing MDG goals related to poverty, gender, health and empowerment. Suggestions for implementing IEP recommendations IEP Suggests Energy for All IEP aims to set a goal to provide clean cooking energy to all within 10 years. In the interim bring access to energy within 1km of all habitations Implementing better access to Energy IEP: Bring fuels closer to 1km Ways to implement Identify problem districts, blocks and villages Women groups can form tree growing cooperatives for fuelwood People of problem area can identify land and the species of plants The labour going into collecting wood can be employed gainfully for creating assets. Subsidy distribution IEP: Subsidy through Debit Cards to BPL Households Ways to implement Implement it in one area first. After strategic impact, modify if necessary. Set up a mechanism to monitor success, failure and best practices. Micro enterprise for energy development IEP: Need to go beyond cooking energy Ways to implement Women as solution and not the problem. Energy itself an enterprise such as making charcoal, briquette making, gasifiers and so on. Access to energy as promotional incentives for running home based small-scale energy business units such as food processing, flour mills and so on. Market based approach Ways to implement: Paradigm shift from “subsidy mind set” to micro credits and loans. Set criteria to select area for market based approach - mechanism that can assist women in gaining access to improved energy services to expand livelihood. - Access to credit - Energy for livelihood is more likely to be paid for The role of Self help groups in providing financial services must be enhanced Role of financial institutions. Employment & Capacity building IEP: Enhance the energy dependent employment opportunities for rural poor Ways to implement Promotion of local resources such as seed growing for biofuels etc. Linking with development schemes such as employment schemes, land development schemes. Provide special trainings and special fellowships for Women Capacity building and assistance to manage energy programs Widen access to rural electrification, including decentralized programs Reaching The MDGs: By Addressing Gender And Energy Issues Reduce rural poverty and improve the situation of women: through the provision of affordable energy services reduce the burden on women of exhausting and repetitive tasks improved access to cooking fuels and energy-efficient technologies for pumping water and other agricultural activities promote economic opportunities for women free up time from usual activities and reallocate their time toward attending to agricultural tasks, improving agricultural productivity, developing micro-enterprises, increase income and improve family well-being Some Energy related goals 50% reduction in unelectrified clinics 50% reduction in unelectrified schools 50% increase in access to clean fuels Bringing closer to 1 km No MDG without Energy Thank you