http://www.itdg.org/html/advocacy/power_to_the_people_paper.htm
Power to the People: sustainable energy solutions for the world's poor

ITDG - Practical Answers To Poverty                
Sustainable energy solutions for the world's poor

Energy and poverty

Energy cooks the food we eat, it heats our schools, it lights our 
hospitals, it powers our industries, it is central to all human 
economic activity.

Access to basic, clean energy services is essential for sustainable 
development and poverty eradication, and provides major benefits in 
the areas of health, literacy and equity. However, over two billion 
people today have no access to modern energy services.

The issue of energy choice is fundamental to the great challenge 
facing the world at the beginning of the 21st century - how to 
eliminate the obscene levels of poverty without further polluting the 
planet. ITDG believes that there does not have to be a trade-off 
between human development and the environment. Millions can be lifted 
out of poverty without ruining the planet with the help of clean 
sustainable energy.

Poverty and energy are inextricably linked. Poverty will not be 
halved without energy to increase production and income, create jobs 
and reduce drudgery. Improving health and reducing death rates will 
not happen without energy for vaccination campaigns. The greatest 
child killer, acute respiratory infections, will not be tackled 
without dealing with smoke from cooking fires in the home. Children 
will learn less without light in their homes to allow them to read. 
Water will not be pumped or treated without energy.

The international community is committed to tackling world poverty 
though a series of Millennium Development Goals (MDGs) by 2015. While 
energy goals are not specifically incorporated into the MDGs, access 
to affordable, sustainable energy is an essential input to achieving 
most of them.

In August this year world leaders will assemble in Johannesburg for 
the World Summit on Sustainable Development. A priority for the 
Summit will be how to respond to the needs of the two billion poor 
people who lack access to modern energy services. The Summit will be 
a critical opportunity to establish the political will towards 
achieving the MDGs and to incorporate sustainable energy as a key 
component of the Goals.

Three challenges

Energy for cooking

The first energy priority of poor people is to meet their household 
energy needs. Poor people spend up to a third of their income on 
energy, mostly to cook food. Around 2 billion people in the 
developing world use biomass, such as wood, dung and charcoal, for 
cooking. Due to poverty, many will continue to rely on biomass as 
their primary energy source for cooking in the foreseeable future.

Women, in particular, devote a considerable amount of time to 
collecting, processing and using traditional fuel for cooking, often 
spending four to six hours per day and walking up to ten kilometres 
to gather 35 kg of firewood - time which could be spent on child 
care, education or income generation. Reducing the amount of firewood 
or dung used through simple affordable technology such as more 
efficient stoves is vital.

Every year 1.8 million people die of illness related to smoke for 
cooking fires. Smoke is a major factor contributing to acute 
respiratory infection, which is the greatest single cause of 
under-five-year-old deaths. Simple affordable solutions to deadly 
indoor pollution are available. The use of smoke hoods would go a 
long way to reduce deaths from indoor pollution.

There is urgent need to address the continuing dependence on biomass 
for domestic energy. ITDG is calling for a concerted effort, by 2015, 
to:


* Provide one billion people with improved, clean stoves
* Halve the numbers of deaths from indoor air pollution

        ITDG has worked with Maasai women in the Kajiado region of 
Kenya to find appropriate solutions to the extreme problem of air 
pollution in their homes - where average smoke daily levels were 
recorded at over 100 times the accepted international standards and 
several hundred times higher during cooking times. The women assisted 
in developing a simple smoke hood which has reduced smoke levels in 
the houses by an average of 75 per cent.
Getting electricity to the rural poor

The second major challenge will be to provide electricity to the 
rural poor. Electricity is needed to power small industry and 
enterprise, run health clinics and light schools. Without it rural 
poverty will not be eradicated.

Although some 800 million people have been connected to power grids 
in the last 20 years, nearly two billion people still do not have 
access to electricity, particularly in rural areas.

The conventional approach to electrification tends to marginalise 
rural communities who are located far away from the grid. Rural 
population densities are generally low and the cost of energy supply 
is high compared with densely populated areas. Electricity companies 
- public or private - have little incentive to provide services to 
these areas.

Where centralised approaches have failed to reach the poorest 
communities, there is a need for a new approach based on small-scale 
sustainable energy options. Decentralised energy options using local 
resources - for example, wind, biogas, photovoltaic, micro-hydro - 
offer many advantages for meeting the needs of the rural population. 
Decentralised alternatives can make use of local manufacturing and 
technical capability, and can be controlled by the communities 
themselves.

Relatively small investments are needed to produce or improve 
technologies that are within the reach of low-income communities. 
There are many examples of best practice in this field. Success 
stories should be replicated, especially through South-South transfer 
of technologies and experience.

The options for decentralised rural electrification are either 
through diesel or renewable energy sources. Renewable energy has 
distinct advantages over diesel as it has much lower running costs, 
the energy source is local and does not run out, it is much cleaner 
and does not contribute to global warming.

ITDG is calling for the following rural electrification target to be 
met by 2015:


* To halve the proportion of people without access to electricity
* Two thirds of these to be from renewable technologies

        ITDG has been using Inter-America Development Bank funds in 
Peru since 1983 to implement a "Revolving Fund" of soft loans with 
technical assistance on the construction of micro hydropower schemes 
in isolated rural areas. So far 15 schemes have been completed under 
this scheme, benefiting about 10,000 people. Loan repayments are fed 
back into the Fund to support new micro hydro stations in remote 
villages.
Getting sustainable energy to the urban poor

Increasing numbers of the world's poor people are living in cities 
and many are still dependent on traditional fuels (wood and charcoal) 
for their energy needs. Large concentrated populations draw 
significantly on scarce natural resources.

In the short term fossil fuels will continue to be the main 
alternative fuel for poor urban households. The increased use of LPG 
(liquid petroleum gas) and kerosene is the most feasible way to 
improve air quality in the home and reduce the environmental damage 
of deforestation around cities in the short term. However, there is 
need for a longer-term global strategy for more sustainable supply of 
energy to poor urban areas as the rural poor continue to migrate to 
the cities.

ITDG is calling for:


* International and national strategies to be put in place to assist 
the urban poor in the transition to cleaner and more sustainable fuels

        A small amounts of energy can have a significant impact on 
income generation. For example, a solar lantern developed by IT 
Consultants has extended the operating hours of a street vendor in 
Kenya by lighting her stall in a local market.

Power to the people: an agenda for change

If these three challenges are met - clean energy for cooking, rural 
electrification, energy to the urban poor - then significant progress 
will have been made towards achieving the Millennium Development 
Goals. For this to happen, the World Summit on Sustainable 
Development must commit to a plan of action and clear targets to get 
clean and sustainable energy to world's poorest people. The 
international community must commit themselves to the following five 
areas:

Ensure energy is incorporated into poverty reduction strategies

Energy strategies for the poor must be incorporated into national and 
international development frameworks. In particular, national Poverty 
Reduction Strategies in developing countries should explicitly state 
the energy services required to achieve their poverty reduction goals.

Target trade and aid support to sustainable energy options for poor people

Firstly, development assistance must recognise that the principal 
energy need of the poor remains cooking. Increased support is 
required for clean cooking strategies, linked to health sector 
development, to significantly reduce deaths from indoor air pollution.

Secondly, bilateral trade and aid policy in the energy sector, 
currently predominantly focused on fossil fuel technologies, should 
be reoriented towards sustainable energy and to encourage the 
renewables market.

Develop financing mechanisms to reach the grass roots

The international community will need to commit to invest in the 
dissemination of sustainable energy technologies in order to improve 
the quality of poor people's lives and reduce the cost of providing 
energy services to the poor. This will require the commercialisation 
of renewable energy technologies through innovative financing 
mechanisms, targeted subsidies and financing to reach the grass roots.

Encourage private sector partnerships to target the poor

While industrialised countries are leading the way in increasing the 
viability of renewable energy technologies, there is also need to 
address how to support the development of local technical skills and 
knowledge needed in developing countries. The private sector - 
particularly in the technology and banking sectors - must be 
encouraged to form local partnerships to supply services which are 
accessible and appropriate to the poor.

Give a voice to the poor

Last, but not least, people living in poverty must have their say if 
energy policy and services are to meet their needs and provide long 
term solutions. In energy sector planning, as elsewhere, poor people 
are too frequently the invisible stakeholders. Yet evidence shows 
that if the primary stakeholders are involved in the design and 
implementation of development initiatives they are much more likely 
to bring prolonged benefits.

ITDG hosted a multi-stakeholder seminar on energy and poverty 
reduction in London on 17th July 2002.

The event presented four key visions from government, the private 
sector, environmental and development NGOs in response to the 
question: How can we deliver sustainable energy solutions to help 
achieve the UN millennium goal of halving the number of people living 
in absolute poverty by 2015?

Speakers included Sally Keeble MP, Parliamentary Under Secretary of 
State for International Development; Benedict Southworth, Director of 
the Climate Campaign, Greenpeace International; Robert Kleiburg, Vice 
President for Strategy and Planning, Shell Renewables and Cowan 
Coventry, Chief Executive of ITDG. There were also three seminar 
working groups on Energy and poverty linkages; Cooking, biomass and 
clean energy; and Rural electrification.

Click here for further details.
A full seminar report and principal speeches will appear here shortly.

This briefing paper is also available to download as an Adobe PDF file   ~72Kb

Further information


* Sustainable Life and Livelihoods: Energy for the Poor
* Read about the Choose Positive Energy campaign, supported by ITDG 
in conjunction with Greenpeace and the Body Shop
* ITDG's position on the realities of renewable energy and poverty reduction
http://www.itdg.org/html/advocacy/renewable_energy_realities.htm

* Why energy is fundamental to improving the lives of poor people
http://www.itdg.org/html/advocacy/energy_fundamental.htm

* Technical solutions to energy needs must be accessible, affordable 
and appropriate
* ITDG's energy programme

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