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1. NAMA Design Rural Electrification with
Renewable Energy in The Gambia
17TH TO 19TH AUGUST, 2015
NAMA REGIONAL WORKSHOP, KIGALI, RWANDA
MINISTRY OF ENERGY
Saidou MS Badjie, Ministry of Energy
saidoumsbadjie@yahoo.com / saidoumsbadjie@gmail.com

2. NAMA Design Rural Electrification with
Renewable Energy in The Gambia
MINISTRY OF ENERGY

3. Content
1 Introduction to Rural Electrification with Renewable Energy
Nationally Appropriate Mitigation Actions
2 Rural Electrification in The Gambia
3 Policy Background
4 NAMA Objectives
5 NAMA Ventures
6 Capacity Development
7 NAMA Financial Requirements and Mechanisms
8 NAMA Implementation Structure
9 Measuring, Reporting and Verification
10 Conclusion
MINISTRY OF ENERGY

4. Rural Electrification with Renewable Energy in The Gambia
Electricity Challenges
Several challenges burden The Gambia’s electricity subsector such as:
 High tariffs due to its dependence on fossil fuel generation, poor
operational efficiency and heavy electricity losses due to its ageing
transmission and distribution infrastructure (Ministry of Energy, 2014).
Lack of access to electricity also hinders social development and hinders
the delivery of health care and education services in the country.
 The Gambia is confronted with both infrastructural and financial
constraints in providing grid connectivity to rural and remote areas.
 Electricity in the country is quite expensive. Regional benchmarks stated
that electricity tariffs in The Gambia are quite high for both residential and
commercial users and therefore should be reduced and make it affordable to
improve livelihood.
MINISTRY OF ENERGY

5. Background Gambia
Demographics:
 Smallest country in mainland Africa and is 15 – 80 km wide and about 400 km long (Napa,
2007). Area of approximately 113,000 km2 (SOE, 2010).
 located between 13.79° and 16.82° West Longitude and within 13° North latitude (SOE, 2010).
 Population of: 1,883,051 (July 2013)
Power Generation and Supply
 (Pre 2005) Monopoly on Power generation, transmission and distribution by NAWEC (National
Water and Electricity Company).
 NAWEC maintains Kotu Power Station (25.3 MW – peak load) as the major generating power
house supported by a number of stand-alone power stations in the major provincial towns (6
mini – grids).
MINISTRY OF ENERGY

6. Electrification rate across regions in The Gambia
Regions Electrification Rate
Banjul 92%
West Coast Region 22%
Upper river Region 14%
Lower river Region 12%
Central river Region 7%
North bank region 6%

7. Policy Background
National Energy Policy
The National Energy Policy was launched in June 2005 and defines broad policy objectives and strategies,
including those for rural electrification and renewable energy. increasing the adequacy, accessibility and reliability
of electricity, reducing the cost of electricity, encouraging private sector participation, providing energy security
and promoting rural development. The new energy policy revised in in 2014 highlights the importance of energy in
meeting Sustainable Development goals. For instance, energy access can assist in achieving the goal of
eradicating extreme poverty and hunger through: The Policy prioritizes rural electrification and promotes the use
of renewable energy resources such as wind and solar for electricity generation, particularly in the rural areas.
The Policy includes a target of achieving at least 30% renewable energy generation capacity by 2018.
Renewable Energy Law 2013: The Renewable Energy Law was enacted to streamline process of application
and permission for renewable energy projects, assure quality of technical systems and capacity of the technical
teams. Incentives are also given in the law for Renewable Energy projects.
The Electricity Act 2004 was enacted to further promote the participation of the private sector in the electricity
market and to regulate the sector to ensure consumers receive better services as well as ensure that operators
operate with optimal efficiency. Besides, there is an Electricity Strategy recommending that The Gambia to
meet over 50% of demand of renewable electricity by 2030
Public Utilities Regulatory Authority (PURA) have developed Feed in Tariff Model with specifications on
certification of Renewable Energy Plants and range of accepted generation capacity
MINISTRY OF ENERGY

8. 5 NAMA objectives
1. Increase the generation and overall share of renewable
energy (electricity)
2. Reduce GHG emissions in the power generation sector,
based on a business-as-usual and suppressed demand
scenarios
3. Increase rural population’s access to affordable,
sustainable and reliable electricity supply
4. Encourage an increase in rural community income
generation, and improve rural livelihoods
5. Increase the level of private sector participation within the
power sector in The Gambia

9. Current Energy use in Rural
Areas
Kerosene
lighting Fossil fuel based generators
for economic activities
Fossil fuel based
generators for
residential purposes

10. Proposed solution
Implementation of NAMA using Renewable Energy sources for rural electrification
which will increased rural electrification and will be financed through a variety of
means
 Consumer payments
 National budget
 Nationwide electricity
surcharge
 International partners

11. Two-phase implementation plan
PHASE 1
Establishing:
RE - Micro Grids
RE - Community Energy
Centers
Rural Productivity Zones
RE Operational Subsidy Fund
Main NAMA building blocks
Reduced Taxation Measures
Capacity Development
PHASE 2
Establishing:
RE - Displacement Systems
RE - Independent Power
Producer
RE Loan Facility
Strengthened Feed-in-Tariff
Capacity Development
2030
2016
2023

12. Phase 1 Ventures
 Implementation of venture types with 2
different distribution methods:
1. Solar renewable energy community
energy centres (RE-CEC)
 Charging and distributing electricity via
batteries supplied to households
2. Solar renewable energy micro-grids
(RE-MG)
 Low voltage micro-grid, which directly
distributes single-phase AC power to
each household
 Both of these ventures types have as their
backbone a Rural Productivity Zones (RPZs)

13. Phase 1 ventures: RPZ
Distribution
via RE-CEC
or RE-MG
model
Solar Power
Generation
RPZ Community
Store/ Energy Shop
(CEC model): meet
basic community
shopping needs
50 households
connected: 2 energy
efficient lights, 1
radio, 1 mobile
charger
Industrial
Shed
& Irrigation
Station:
sewing
machines,
motors,
mills, water
pump to
irrigate up
to 15 ha
Technology
Centre:
computer,
printer, mobile
chargers, TV Clinic
Diesel
gen-set
back-up

14. Phase 2 ventures
1. Renewable energy at existing rural mini-grids, or displacement systems
(RE-DIS)
 Installation of six solar PV generation systems at existing diesel power
generation facilities at regional mini-grids
2. Renewable energy independent power producer (RE-IPP)
 Installation of large-scale
solar PV system adjacent
to the existing diesel
generation facilities by
IPPs

15. Venture business models
 Phase 1: Public private partnership (PPP)
 Public partner has title / ownership of the assets (generation and
distribution system)
 Private party operates, maintains, and manages the Energy Service
Providers (ESP) services
 Bidding process to select private partner
 Phase 2: Full private sector
 Private company will invest equity and take on debt to cover both
the development and implementation costs of a RE-IPP venture

16. Phase 1 Capacity Development:
Institutional
 Regulation and policy updating
 Documentation: creating templates required for data collection, etc
 Staffing:
 NAMA Coordinating
Authority hiring of
international and
national staff
 Establishment of all governance bodies

17. Phase 1 Capacity Development: Training
& Marketing
 Trainings of different stakeholders:
 NAMA Coordinating Authority national staff
 Trustee & Financial Institutions
 Public sector
 Private sector
 Marketing e.g.
 Launch events
 NAMA website
 Radio campaign
 Newspapers

18. Private Sector
• NAMA opportunities
• Business plan
development
• Rural electrification
• RE opportunities &
challenges
• RE technicalities
Financial Institutions
• NAMA opportunities
• Rural electrification
• RE opportunities &
challenges
• RE in The Gambia
• Innovative financial
mechanisms
Community
• Rural
electrification
using RE
• Consumer
technicalities
• RPZ opportunities
• Entrepreneurship
Trainings

19. Financial Mechanisms (1/2)
 2 sources of finance
 National
 International
 Various mechanisms of financing
 Budget allocation (national)
 From taxes / surcharges (e.g. national electricity surcharge) or national
budget items allocated for specific purposes
 Reduced national taxation (national)
 Build upon the tax holidays included in the Investment and Export
Promotion Agency Act
 Consumer payment schemes (national)
 Pre-payment is preferred scheme

20. Financial Mechanisms (2/2)
 Direct investment grants (international)
 Operations Subsidy Funds (international & national)
 Provides subsidies to ventures
 Loan facility
 Revolving Loan Fund
 Loan Credit Programme

21. Indicative Costs of NAMA (1/2)
NAMA Venture Investments
Phase 1
RE-CEC Implemented (#) 8
RE-MG Implemented (#) 8
International Component (equity) (US$) 9,861,213
International Component (debt-credit) (US$) -
National Gov Component (equity) (US$) -
Private Sector (equity) (US$) -
Phase 1 – Total (US$) 9,861,213
Phase 2
RE-DIS Implemented (#) 6
RE-IPP Implemented (#) 1
International Component (equity) (US$) -
International Component (debt-credit) (US$) 13,122,669
National Gov Component (equity) (US$) -
Private Sector (equity) (US$) 5,624,001
Phase 2 – Total (US$) 18,746,669
Venture Investments Total (US$) 28,607,882
MINISTRY OF ENERGYE

22. Indicative Costs of NAMA (2/2)
NAMA Venture O&M Costs
Phase 1
National Gov Component (subsidy) (US$) 6,629,183
International Component (subsidy) (US$) 2,339,824
Consumer Payments (US$) 2,209,728
International Extension and Expansion Funds (US$) 1,030,400
National Extension and Expansion Funds (US$) 836,267
Phase 1 – Total (US$) 13,045,401
Phase 2
National Gov Component (subsidy) (US$) 2,170,352
International Component (subsidy) (US$) -
Consumer Payments (US$) 17,053,683
International Extension and Expansion Funds (US$) -
National Extension and Expansion Funds (US$) -
Phase 2 – Total (US$) 19,224,035
Venture O&M Costs Total (US$) 29,929,612
MINISTRY OF ENERGY

23. Summary of NAMA Targets for GHG Emissions Reductions
and Sustainable Development
MINISTRY OF ENERGY
Target Indicator
Reduce GHG emissions Target emissions reductions of 12,748 tCO2
from Phase 1 ventures over the 15 year venture
lifetime and 109,937 tCO2 from Phase 2
ventures over the 15 year venture.
Contribute to sustainable development 320 SMMEs created
320 new jobs for females, 320 new jobs for
males
3,112 hrs of equipment use in the RPZ
800 households connected
20 public buildings connected

24. NAMA Governance
Coordinating
Authority
• Oversee day to
day NAMA
operations
• Technical
advisor
• Focal point for
ESPs and other
stakeholders
• Coordinate
activities and
MRV
• Full time
national staff +
international
advisor
Approval
Committee
• Provide
strategic vision
• Final say in
financial
allocation
• Part-time
national and
international
partner
representatives
Venture Approval
Expert Group
• Technical level
of experts
• Overseeing the
processes to
include new
ESPs/ventures
into the NAMA
• Part-time
national and
international
representatives
Trustee
• Financial
oversight of
capital
• Directly
allocates
financial
resources
• Accredited
national/
regional/
international
entity

25. Phase 1 Implementation Schedule
PHASE 1 - STEP / YEAR 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15
Establishment of pre-Phase
1 conditions
0: Mandate for Operations &
Venture Approval Process &
Recruitment of Int. Advisors
1: Venture Screening and
Feasibility Studies (RE-MG &
RE-CEC)
2: Venture Approval
3a: Establish Operations
Subsidy Fund
3a: Competitive Bidding for
Implementation of Ventures
3b: Competitive Bidding for
PPP
- First ventures construction
&commissioning
4: Inclusion of new
Individual Ventures
(continual)
5a: Oversight of
Implemented Ventures
(continual)
5b: Approval for Subsidies
(continual)

26. Phase 2 Implementation Schedule
PHASE 2 - STEP / YEAR 7 8 9 10 11 12 13 14 15
Establishment of pre-Phase 2 conditions
6a: Feasibility Studies and Approval Ventures
(RE-DIS)
6a: Feasibility Studies and Approval Ventures
(RE-IPP)
6b: Establishment of RE Loan Facility and
Strengthened FIT
7: Competitive Bidding for Ventures (RE-DIS)
7: Competitive Bidding for Ventures (RE-IPP)
- First RE-DIS ventures implementation and
commissioning
- First RE-IPP venture implementation and
commissioning

27. MRV Approach
 NAMA GHG accounting and monitoring is build on the CDM Small-scale
Methodology: AMS-I.L.: Electrification of rural communities using renewable energy,
Version 03.0. The baseline scenario assumes the use of fuel-based lighting systems,
stand-alone power generators, and fossil fuel based mini-grids (UNFCCC, 2014).
 In the Gambian situation, the application of suppressed demand translates into the
baseline scenario being that all people have basic human needs met through the use
of the fossil fuel technologies previously mentioned.
 Phase 2 of the NAMA includes two different venture models which provide electricity
to consumers who are already grid connected, either to diesel powered regional
mini grids or to the GBA grid. Therefore, the baseline scenario for consumers
connected to the regional mini grids is the use of electricity generated by diesel
generators. The baseline scenario for consumers connected to the GBA grid is the
use of electricity generated by the five thermal power plants connected to the GBA
grid.

28. NAMA
Coordinating
Authority
ESPs
Consumers
Auditor
MRV reporting

29. NAMA
Coordinating
Authority
NAMA Approval
Committee
Domestic
Financiers
Trustee
International
Financiers
Governance reporting structure
ESPs

30. Conclusion
 NAMA offers opportunity for large-scale emissions reductions and
sustainable development benefits which lead to transformative
change
 Variety of financial sources and mechanisms required
 Participation of numerous ministries/government agencies, financial
institutions and private sector is vital
 The design document provides NAMA design but national and
international partners must now be sought

31. THANK YOU
FOR YOUR
AUDIENCE