value chain development roadmap introduction of cooking

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GIZ Support to De-bushing Project Value Chain Development Roadmap Introduction of Cooking and Production Systems Based on Encroacher Bush in Namibia PN/VN: 2011.2200.1-001.00/81195593 Handed in by Frank Helbig HELCON Renewable Energy Consulting [email protected] and Nathanael Nuulimba Logos Consulting [email protected] July 2016

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GIZSupporttoDe-bushingProject

ValueChainDevelopmentRoadmap

Introduction of Cooking and Production Systems Based on Encroacher Bush

in Namibia

PN/VN: 2011.2200.1-001.00/81195593

HandedinbyFrankHelbig

[email protected]

and

NathanaelNuulimbaLogosConsulting

[email protected]

ValueChainDevelopmentRoadmap-CookingandProductionbasedonEncroacherBush

Tableofcontents1. Background...............................................................................12. Reviewofliteratureandundergoneinitiatives..........................2

Cookstove.........................................................................................................................4Cookstoveprogramsandinitiatives.................................................................................5

3. Materialandmethodsofthedemandassessment.....................84. Energydemandassessmentresults............................................95.1Naturalresourcesandaccessibilityonlocalmarkets......................................................95.2Focusonhouseholds.....................................................................................................105.3Focusoncookstovesinhouseholds.............................................................................125.4Focusonsmallandmediumsizedenterprises..............................................................135.5Focusonpublicbuildings..............................................................................................155.6Firewoodconsumption.................................................................................................16

5. Valuechaindevelopmentroadmap.........................................176.1Introductiontostrategicapproach...............................................................................17Proposedpilotregion......................................................................................................17Proposedformofenergycarriers...................................................................................17Proposedtechnology.......................................................................................................19Customersegments.........................................................................................................21Conclusionsforthestrategicapproach...........................................................................22

6.2 Valuechaindevelopmentroadmap........................................................................236.2.1Energyservice:woodpuksinimprovedcookstovesforhouseholds....................23Activities&Responsibilities............................................................................................25Marketingapproach........................................................................................................26Scalability........................................................................................................................26CostsandBenefits...........................................................................................................276.2.2Energyservice:woodchipsforlargescalecookstovesinschool..........................30CostBenefit.....................................................................................................................31Activities&Responsibilities&Indicatorsofachievement..............................................32Marketingapproach........................................................................................................32Stakeholders....................................................................................................................33Projectcosts....................................................................................................................33Timeframe......................................................................................................................346.2.3BioenergyInnovationCentertoshowcasewoodgasification...............................35Activities&Responsibilities............................................................................................36Timeframe......................................................................................................................37Stakeholders....................................................................................................................38Marketingapproach........................................................................................................38Projectcosts....................................................................................................................38

6. Concludingremarks.................................................................40Annex............................................................................................41Annex1StakeholderInterviews..........................................................................................41Annex2Questionnaire........................................................................................................43

AbbreviationsBEN BicycleEmpowermentNetworkNamibiaBTDC BiomassTechnologyDemonstrationCentreCCF CheetahConservationFundCEO ChiefExecutiveOfficerCHP CombinedHeatandPowerDRFN DesertResearchFoundationofNamibiaFSC ForestStewardshipCouncilGIZ Dt.GesellschaftfürInternationaleZusammenarbeitGJ GigaJoulekg KilogrammKW KilowattKWh KilowatthourL LiterLPG LiquidPetroleumGasMAWF MinistryofAgriculture,WaterandForestryMJ MegaJouleMME MinistryofMinesandEnergyN-BIG NamibianBiomassIndustryGroupN$ NamibianDollarNAMA NationallyAppropriateMitigationActionPlanNamBESP Namibia’sBiomassEnergySavingProjectNAPCOD Namibia’sProgrammetoCombatDesertificationNCCI Namibia Chamber of Commerce and Industry NEI NamibiaEnergyInstituteNSA NamibianStatisticsAgencyNUST NamibiaUniversityofScienceandTechnologyProBEC ProgrammeforBiomassEnergyConservationPV PhotovoltaicREEECAP RenewableEnergyandEnergyEfficiencyCapacityBuildingProjectREIAN RenewableEnergyIndustryAssociationofNamibiaSME SmallandmediumsizedEnterpriset Tonnes

TablesTable1Householdenergydemand........................................................................................10Table2EnergydemandSME...................................................................................................14Table3Publicbuildingsenergydemand.................................................................................15Table4Prizesforcommonenergycarriers.............................................................................16Table5Densificationofbiomass.............................................................................................18Table6Customersegments....................................................................................................21Table7Costbenefitanalysiswoodpukshouseholds.............................................................27Table8Potentialstakeholdersforthepilotofwoodpuksinhouseholds.............................28Table9Projectcostswoodpukshouseholds..........................................................................29Table10Costbenefitwoodpukslargescalekitchen.............................................................31Table11Stakeholderswoodpukslargescalekitchens...........................................................33Table12Projectcostswoodpukslargescalekitchens...........................................................33Table13Stakeholderbioenergyinnovationcenter...............................................................38Table14Costpositionbioenergyinnovationcenter..............................................................39FiguresFigure1Samplingregions.........................................................................................................2Figure2Marketavailability,frequencyoffuelsourcing...........................................................3Figure33stonefireplaceandLPGrunstove............................................................................5Figure4Stovepurchase..........................................................................................................12Figure5Stoveperceptionofusers..........................................................................................12Figure6Stoveandstability.......................................................................................................6Figure7Improvementofenergygenerationperception..........................................................7Figure8SMEnaturalresourcedemand..................................................................................13Figure9SMEpurpose.............................................................................................................13Figure10WillingnesstoincreasetheshareofRE.....................................................................7Figure11EnergymixSME.........................................................................................................8Figure12SMEstoveproducing.................................................................................................8Figure13Publicbuildingsenergyuseandpurpose..................................................................9Figure14Publicbuildings:perceptionoffuelprize..................................................................9Figure15Firewoodsalesplacewithascale............................................................................10Figure16Woodpuks..............................................................................................................17Figure17ZAMAstove.............................................................................................................18Figure18ActivtiesWoodpukshouseholds............................................................................20Figure19Timeplanwoodpukshouseholds...........................................................................34Figure20ZAMAinstitutionalstove.........................................................................................35Figure21Activitieswoodpukslargescalekitchens................................................................36Figure22Timeplanwoodpukslargescalekitchens..............................................................37Figure23AllPowerLabgasifier..............................................................................................30Figure24Spannerco-generatorandwoodgasifier................................................................30Figure25Activitiesbioenergyinnovationcenter....................................................................31Figure26Timeplanbioenergyinnovationcenter.................................................................32

DISCLAIMER The author ensures that all data and information used in this roadmap and associated numerical models is correct and up to date. Due to factors beyond the control of the author, a number of assumptions had to be made in the compilation of this roadmap. These assumptions have an impact on the reliability of the presented findings and economic feasibility of the proposed pilot projects, recommendations and conclusions. Neither the author, HELCON Renewable Energy Consulting or its employees assume any responsibility whatsoever to any entity, organization and/or person(s) in respect to the information presented in this report, including any omissions and/or errors therein, arising through misinterpretation, negligence, or however otherwise caused.

ValueChainDevelopmentRoadmap-CookingandProductionbasedonEncroacherBush

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1. Background

A potentially important value chain for encroacher bush biomass is that of household energy (i.e.cooking and heating fuel). An estimated 550,000 tonnes of firewood are used in Namibianhouseholds per year. Large parts of thiswood, predominantly from trees, could be replacedwithwoodfromencroacherbushesandthuscontributetoreducelanddegradationbyinvasiveencroachbushcoverage,illegallogginganddeforestation.

Bymakinguseof the locally available and renewable resourcesderived fromencroacherbush, anaffordablefuelcouldbeprovidedtohouseholdslocatedinruralandsemi-urbanenvironments.TheGIZ Support toDe-bushing Project is a product of theMinistry of Agriculture,Water and Forestry(MAWF)initseffortstowardsreducingtheinvasionofencroacherbushoflandthatcanotherwisebeusedforcattlefarming,forinstance.TheMAWF/GIZSupporttoDe-bushingProjectseekstodevelopvalue chains based on the renewable resource from encroacher bush. In the field of households,publicbuildingsandSmallandMediumsizedEnterprises,thesubstitutionofeithermerefirewoodorfossilfuelsareparticularlyrelevantforupscalingtheuseofandincreasingthecontributiontowardsamore sustainable landmanagement andwayof generating renewable energy on a large scale. Allproposed initiatives contribute to the Namibian government strategies, such as the Off-GridEnergizationMasterPlanforNamibia(2007),theRuralElectricityDistributionMasterPlan(2012)aswell as the recently introduced Nationally Appropriate Mitigation Action Plan (NAMA) on RuralDevelopment in Namibia through Electrificationwith Renewables (2015). These plans foresee thepromotionofrenewableenergy,includingbiomass,throughregionalEnergyShops.

Bymeansofpilotprojects,theopportunitiesassociatedtobiomassfromencroacherbusharegoingtobedemonstratedtoasignificantpartofthepopulationsothatapressingproblemcanbestartedtobeturnedintothebasisforasolution.

Objectivesofthestudy

Theobjectiveofthisstudy is toproposeadetailedvaluechaindevelopmentroadmapforcookingand productive use systems based on encroacher bush in Namibia. Through a survey amonghouseholds,socialinstitutionsandsmall-scalebusinesses,thecurrentfuelconsumptionpatternsaredescribedandthepotentialoffuelsubstitution(i.e.thepotentialofintroducingwoodybiomassfromencroacher bush as an alternative fuel) assessed. The study identifies ideal biomass technologies(e.g.cookstoves,waterboilers, steamengines,gasifiers) inorder toencourage thesubstitutionofconventional fuel by woody biomass from Namibian encroacher bush (e.g. in form chips orbriquettes).

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2. ReviewofliteratureandundergoneinitiativesDespite the negative impacts, the encroacher bush has developed into a huge biomassresource, estimated at about 200 to 300million tonnes, based on assumed 26-30millionhectareandaharvestof10t/haonaverage1.MeasuresusedtocombatbushencroachmentcreatepositiveopportunitiesfortheNamibianeconomy2,suchastheuseoftheresourceforhouseholdenergyforcookingandheatingandvaluechaindevelopmentforinstitutionsandproductiveuse,suchaselectricitygenerationforfarmersandtourismindustry.Theremightatremendouspotentialforoff-gridfarmstogeneratetheirownelectricitybyusingbiomassfrom encroacher bush bush. The current economic utilisation of encroacher bush focusesmainly on firewood for local communities, charcoal for exports, and small production ofcompressedfirewood.Thevaluechainmakinguseofbiomassfromencroacherbushforthegenerationofheatisparticularlywellestablishedandconsumesabout330,000tonsofbiomassperyear.Theuseof firewood fordomesticenergy iswell-knownbutdifficult toquantify. Informal firewoodconsumptionhasbeenestimatedtoconsume440,000tonsoffirewoodandformalfirewoodconsumption45,000tonsperyear.Thebuildingmaterialsandanimalfeedstuffvaluechainsweresmallandpoorlydevelopedin2014buthavegainedmomentumrecently.Intermsofvalue, most firewood is used for domestic purposes (cooking, heating, recreation,structural), followed by charcoal- making, direct-firing of industrial furnaces and powergeneration3.Ifunquantifiableamountsoffirewooduseareincluded(e.g.largequantitiesoffirewood cross Namibia’s borders outside of any regulatory channel), total wood use inNamibiamayapproach1,000,000tonsperyear.Thisisconsiderablymorethanthe601,000tons/yearestimated recently3. This is still only3%of thepossible annualusepotential ofNamibianbiomassof23.4milliontonsperyear3.PopulationandHousingCensusdataof2015showsthatNamibiahas2.5millioninhabitantsand 465,000 households, of which 58% live in rural and 42% urban areas. Wood andelectricity are the main sources of cooking in Namibia, depending on an urban or ruralsetting34.AccordingtoNSA,53%ofNamibianhouseholdsusefirewoodforcookingand46%useitforheating5.Theaveragedailyconsumptionis8kgofwoodperhousehold6Itismainlythelowerincomegroups,whichusefirewoodforcookingandheating,whilehigherincomegroups use it for barbequewood (the traditional braai fuel) or briquette and heating atopenfireplaces.Heavy,drywoodlogsarepreferredforthisconsumergroup.Accordingtothe reviewed literaturecooking isdone1-3 timesaday,wherecooking time is inaverageabout1hour.Itisdoneaswellasinsideandoutside.About2.5kgfirewoodisestimatedtobeusedtocookonemealperhousehold.Abundleofwoodcontainingsixpiecesofwoodis

1ValueAddedEnd-UseOpportunitiesforNamibianEncroacherBush:DevelopmentConsultantsforSouthernAfrica(DECOSA),2015. 2AddingValuetoNamibianEncroacherBush:DevelopmentConsultantsforSouthernAfrica(DECOSA)CC,2015.3BaselineAssessmentfortheDe-BushingProgramme:AgriConsultNamibia,2014.4WorldBankGroup–CountryDataretrievedfromhttp://data.worldbank.org/country/namibiaatAug20165Retrievedfromhttp://nsa.org.na/inAug2016.6ForestsandWoodlandsofNamibia,DirectorateofForestsbyMendelsohn&elObeid2005.

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found tobe sold forN$10. This is roughlyenough fuel to cooka typicalmeal for about6people.Itisestimatedthatonehouseholdrequires10kgoffirewoodforheating,i.e.2150tperdayfor215000householdsaccordingtoliteraturereviewed7.Basedonasurveycarriedoutin2007, 75% of interviewed households were reported to experience their houses as coldduringwinter,23% found the temperatureacceptable. In rural andperi-urbanareas57%aresaidtouseblanketstostaywarminwinter,14%firewood,7.8%electricity,7%hotcoal7.8%of electrical heater, 5.9%hotwater bottles, and 4.4% gaswater heater6.Wood andelectricityarethetwomainsourcesofenergyforcooking(88%)dependingonruralorurbanareas,becauseoftheavailabilityandexpensesforthefuel.In rural areas, 48% of rural households include 6-10 persons and 86% reported to usefirewoodforcookingand75%forheating,whereasonly4-8%claimedtouseelectricity. Inmostruralhouseholdscookingisdoneonopenfires,namelythe3stonefire.Thismethodofcookingis likedbecauseit isthetraditionalway,afire iseasytoprepareandmostpeoplehavea fireplaceat theirhome. Ithasmultiple functionssuchascooking,heating, lighting,keepinginsectsaway,servingasacommonmeetingplaceetc.But firewood isbecomingscarcerandmoreexpensive, so it ismoredifficult forpeople touseit.Manypeopleuseanimaldungorgatherlocaltwigsandscrapsforuseasfuel8Firewoodiscollectedfreely.Mostlydeadbranchesandsmallertwigsareharvestedfortheownuse.Inurbanareas(about229,000households),20%usefirewoodforcooking10.Approx.75%ofthehouseholdsuseelectricity forcooking. In thecitywoodandelectricity isavailableandhas tobepurchased. Firewood ispurchasedat aroundat abuddle (6pieces).A reportofenergyconsumptionofun-electrifiedhousesinWindhoekin2007statedthatabout150N$were spent for firewood and 76 N$ for candles and paraffin to supply lighting tohouseholds9.ThisdatacanbeconsideredtobeoutdatedandhastobeadjustedtoadrasticchangeinthecurrencyoftheNamibiandollar.ThemajorityofhouseholdsrelyingonwoodlivesintheNorthernpartsofNamibia.Thetotaldemandof550,000tonnesofwoodybiomassperyearisassumedtobearealisticminimum forhouseholdenergy inNamibia.440,000 tonsof firewoodperyear isused forownconsumptionandinformallyandanother45,000tperyearissoldformally10.Regardingthebiomasspotentialofencroacherbush, thereare severaloptionsofwoody fuel,whichcould be used for household energy. 100,000 households are claimed to be involved ininformal firewoodproduction. The firewood is collectedmanually, cut in required lengthsandsoldmainlyininformalmarketchainalongthemainroadstourbanmarkets.Firewoodissold in loosepiecesat informalmarketsmostlyatabunchof6pieces for10N$ for10kgbagsatsupermarketandpetrolstations.Thefirewoodsellingbusinessisreportednottobeveryprofitable, taking intoconsiderationthecosts involved.Generally, the firewoodseller

7(EE)EnergyEfficiencyBaselineSurveyforRural,Peri-UrbanandUrbanHouseholds(REEECAP1.1),2007.8(HBE)HouseholdBiomassEnergyinNamibia,J.Pallett,RenewableEnergyandEnergyEfficiencyCapacityBuildingProject(REEECAP),2007.9ENERGYCONSUMPTIONINUN-ELECTRIFIEDHOUSEHOLDS,DasiusNelumbu,2007.10BaselineAssessmentfortheDe-BushingProgramme:AgriConsultNamibia,2014.

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makesapproximatelyN$500.00permonthasrevenueandmorethanhalfofthemoneyisspentontransportandpermits.Attemptsbyforeigndonoragenciestoformalisethesalesoffirewood with respective packaging and marketing are known to have failed afterwithdrawalofthedonors(e.g.inCommunityForestsinKavango).According to the baseline assessment, briquettes aremainly used for heating inNamibia.Theyhaveahigherenergydensityanda lowertransportationcostcomparedto firewood.Theexistingproductsare“BushBlok”byCheetahConservationFund (CCF)atOtijwarongo,Namibia, with a production of 7,500 – 10,000 t per year, and “Ecologs”manufactured inOkahandjaatascaleofabout10,000tperyear.Duetolimitedapplications(>missingstovesadapted to the briquettes) options in small-scale private households only, the overallproductionpotentialislimited.Sincethepriceis,withabout30N$per10kg,competitive,even owners of Kapanas (informal food producers) realised the financial advantages overfirewoodduringthedemonstrations,consideringtheburningtimeof“Bushbloks”.Itisalsoan advantage that “Bushbloks” could be supplied continuously, independently of theweather(packedinplasticwrap)whilstwoodsupply isoften inconsistent(e.g. intherainyseason)11. If suchmarketsareopened,STEAG(2013)estimatesapotentialof50,000tperyear. For domestic use. Moreover, on longer term it might be possible to penetrate, inaddition, private low incomegroups for cooking andheatingwith respective education inparticular if the firewood prices are further increasing11. A baseline assessment in 2014argues that Namibia’s poorest households are also those that can least afford to buymanufactured wood products such as logs from compressed wood chips to replacetraditionalfirewoodforheatingandthepreparationoffood7,11.CookstoveA cook stove is an assembly of parts that work together and enable clean and efficientcooking: these includeaburnerunitandaheat-transferstructure. InNamibia,peopleusemanydifferentstovesandfuel typesthatrangefromthesimplestandcommonopenfire,using firewoodassourceof fuel, tomoremodernelectricstovesandelectrickettles.Thechoice of stovesmainly depends on affordability and safety; however,most people knowlittle about the fuel-efficiency of these stoves11. The baseline stove is the 3-stone fire; amodifiedbucketstoveisrecordedtobeusedaswell.Simplefuel-efficientstovesaremadefromrecycledpaintdrumsandwire.Very few households use fuel-efficient biomass stoves or solar cookers. In 2003,approximately2000fuel-efficientstovesand650solarcookershavebeensold inNamibia.Compared to the estimate of over 200,000 households who rely on firewood daily thisnumberiscomparativelysmall12.It isofutmostimportanceforstovestoadapttothepeoplewhousethemaswellastheircookinghabits,forwhichreasonthefollowingaspectsshouldbeconsideredbeforeplanninganycookstoveproject:

11INVESTIGATINGTHEEFFICIENCYOFFUEL-EFFICIENTSTOVEUSEATNaDEETCENTRE,ABSALOMVILHO,201112Environmentalandsocio-economicImpactofimprovedStoves-TheCaseoftheTsotsoStoveinNorthernNamibia,KaiKuhnhenn,2003.

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Ø Satisfythecookwithconvenienceofuse,speed,providealevelofheatsuitableforlocaldishes,culturalacceptance,keepthetimeneededtotendtothefireataminimum,etc.

Ø Use locally available, reliable and affordable fuels (reducing burdensome fuelpreparationefforts)

Ø Beaffordable–localmanufacturingfromlocallyavailablematerialsorbeimportedatreasonablecost.13

CookstoveprogramsandinitiativesAtleastthreetypesofimprovedcookstovescouldbeidentifiedashavingbeenintroducedtotheNamibianmarket.Thetypesofstovesarepresentedshortly:TsotsostoveOriginallydevelopedinZimbabwe,itisametalstovethatusesfirewood.Itissoldfor250N$up to 400 N$14. It has an insulated outer shell, secondary air holes around the conicalcombustionchamberandnoskirt.Itissaidtohaveapaybacktimeof5months.Ituses50-60%lessfirewoodcomparedtoanopenfire15.Thereisfewersmokesoishealthierandsaferthananopenfire,itisrelativelyaffordableandeasytosetup16.Someopinionsweregiventhat thestoveshouldbemadeto lookmoreattractive, so that itwouldbemorepopular.The finishingoffand finalappearanceof thestovegives the feeling that it is ‘uncool’.Mr.Shikongo Tukondja from Dezman Tsotso Stove Manufacturing, Northern Namibia stated:“TheTsotsostovedoesnotlookverysmartbutpeopleseethevalueoncetheystartusingit.Inhisopiniontheappearanceisnotadisadvantage.ButIrecognizethatpeoplearereluctanttochange,andthatthereisagreatpreferencetouseopenfiressimplybecausethatisthemainhabitandtradition.Aslongasfirewoodisavailable,openfireswillusuallybepeople’sfirstoption.”Aconclusionthatshouldbekeptinmindwhenconsideringasuitableregionforimprovedcookstovepilotprojects.VestostoveTheVestostoveusesfirewood,hasaskirtanddoublewallsandyieldsto50%fuelreduction.It isbuilt frommetalandmanufactured inSouthAfricaundercopyrightdesign.TheVestoStove is factory-made, appears smarter and more attractive, and is claimed to be morepopular17.EzystoveTheEzyStoveuseswood,cowdungandcharcoalandisalocallyproducedmetalstove.Itisclaimedtoleadtoa66%fuelreductionand60-80%emissionreduction.Theproductionprceisapproximately150N$anditwassoldinNamibiaatasubsidizedsalespriceof30-55N$.About2,000stovesappropriatedforsmallcookingpotorevena20LdrumweredistributedinNamibia.ItwastheaimofCreativeEntrepreneursSolutionstodeveloptheEzyStoveintoa carbon dioxide offsetting project in order to make 400,000 subsidized and affordablestoves available to 200,000 Namibian households.The project aimed to create up to 300

13Micro-gasification:cookingwithgasfromdrybiomass,ChristaRoth,201414BoilingPointNo.15-April1988(ITDG,1988,40p.)15(HBE)HouseholdBiomassEnergyinNamibia,J.Pallett,RenewableEnergyandEnergyEfficiencyCapacityBuildingProject(REEECAP),2007.16(BW)BiomassWorkshoponWheelsA.Moses,D.NelumbuandJ.Pallett,200717http://stoves.bioenergylists.org/crispin_25-kw-grasifier,retrievedinAug2016.

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locallong-termstoveassemblyjobsandtoreducedeforestationandannualcarbondioxideemissionsbutcouldnotsucceedduetocostofmaterials,lackofmarketingandproductioncostsandreliability18.The following programs and initiatives worked towards an increase in the uptake of fuelefficientcookstoves

1. GlobalAllianceforCleanCookstovesTheAlliance isworkingwith financial institutions andothers stakeholders tomakethesecleanersolutionsmoreaffordabletoconsumersatthebaseofthepyramidbyfacilitatingguaranteesandnewconsumerfinancingproductsanddeliverymodels.Andwearealsoworking to increaseaccessibilityofcleancookstovesand fuelsbystrengthening existing last-mile distribution channels and leveraging new ones byfunding pilots, building capacity for enterprises, and compiling and sharing best-practices.

2. ProBECBiomassenergy related institutionsand theprivate sector inTanzania, ZambiaandMalawiaresuccessfullypromotingandcommercialisingtheuseofaffordableenergy-efficient technologies and techniques for low-income households, institutions andsmall-scale businesses. In Namibia, the NAG was revived in anticipation of a newProBEC programme commencing in 2008. However, the launch of the Namibianprogrammewasdelayedduetoorganizationalproblemsanddidnotovercomethepolicylevel19.

3. EzyStoveProjectTheEzyStovewasadirectoutcomefromacollaborativeinitiativebetweenNamibianNGO Creative Entrepreneurs Solutions (CES), a Swedish company Ergonomidesignand rural/urbanNamibianwomen participating in theUNDPGEF-SGP Community-BasedAdaptationtoClimateChangeprogramme. In2012, itwasawardedwiththeinternationalRedDotBestoftheBest2012designaward.

4. TsotsoStoveProject

TheTsotsostove isawoodefficientstove, fueledwithsmall twigs,piecesofwoodandcrumpledpaper.Thestoveusesupto60%lesswoodcomparedtoanopenfire.Itcanbemadelocally.TheOnkaniTsotsoStoveprojectwas initiatedbytheDesertResearch Foundation of Namibia (DRFN) and Namibia’s Programme to CombatDesertification (NAPCOD). The Onkani Tsotso Stove project was started in August2000 as part of the first phase of Namibia’s Biomass Energy Saving Project(NamBESP),which represents the implementation level of ProBEC. The goal of thefirst phase was to establish six stove production sites within the 4 O-regions. InOnkani, this was conducted by the DRFN and NAPCOD, who informed communitymembers about the way in which fuel-efficient stoves can help to combat

18Retrievedfromhttp://blogs.washplus.org/iaqupdates/2012/07/ezystove-scoops-international-award/http://www.namibiansun.com/content/national-news/ezy-stoves-introduced-in-havanainAugust2016.19Retrievedfromhttp://www.hedon.info/docs/probecbrief.pdfinAugust2016.

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desertificationand trained twoschool leavers inmanufacturing theTsotsoand theMbwangustove(trainingoftrainers).Thestovemanufacturerswereprovidedwithabuildingformanufacturing,toolstoproducethestove,andstovetemplates20.Theprojectdidnotsucceedindistributingmorethan2000stoves.Themainreasonsare various and not distinctively determinable. However, in communication withinvolvedstakeholdersthefollowingreasonsseemstohaveplayedadominantrole:- toohighproductioncosts,- insufficient training of the trainers by the project implementers (time

constraints),- adaptationandadjustmentoffuel,stoveanduser’srequirements,and- lackofmarketing.

5. RenewableEnergy&EnergyEfficiencyInstitute(REEEI)

REEEIisajointventureinitiativebetweenthePolytechnicofNamibiaandtheMME.Its mandate is to collect and disseminate information on renewable energy andenergy efficiency technologies and practices. Currently REEEI is running a DANIDAfunded Renewable Energy and Energy Efficiency Capacity Building Programme(REEECAP),whoseobjective is to increase theuseof renewableenergyandenergyefficiency measures to promote environmentally sustainable socio-economicdevelopment of Namibia. In the same spirit REEEI is working closely withmanufacturersofTsotsostoves,solarcookers,and,woodgasifierstopromotetheseandothertechnologies.Tsotsostovesaremanufactured invarioussmallurbanandrural enterprises but the businesses tend to lose momentum and fail because ofdifficulties with marketing and lack of business skills. A successful Tsotso stovemanufacturer in Oshakati pays much attention to marketing and his business issuccessful and growing. Cost of one TsoTso stove is reported with N$250-450,availablefromHabitatResearchandDevelopmentCentre,Windhoek;andotherlocalmanufacturers.Withthesavinginwoodcosts,astoveisclaimedtopayforitself inabout5-10months21.

Inoverall,theimpressionthatcookstoveinitiativeswerenotcarriedoutonabroadscale,taking into account socio-economic factors, cook stove and fuel design equally, came upduring the literature review. Designing the projects in a way that fuel, cook stove andrequirementsof theusersarealigned toeachother seemnot tohavebeendone in suchapproach. In addition, the budget for production and above all marketing could not beidentified during the literature review. In order, to have an impact on the stronglytraditionallyinterwovenwayofcooking,aprojectshouldbedesignedcarefullyandincludethecommunitiesattheearlieststage. Itwasnotpossibleto identifysuchanapproachbymeans of reviewing the literature.

20(BW)BiomassWorkshoponWheelsA.Moses,D.NelumbuandJ.Pallett,200721Retrievedathttp://www.pciaonline.org/node/211inAugust2016.

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3. Materialandmethodsofthedemandassessment

Inafirststep,relevantliteratureaboutthetopicofbushencroachmentinNamibiaandconsumptionof natural resources in households, public buildings and SMEs was reviewed and analysed.Stakeholder consultations were carried out prior to the energy demand assessment that furthersupportedthestrategicorientationoftheassessment(forabriefsummaryseeannex1).Basedontheexperiencesofstakeholders,the internationalconsultantteam,aquestionnairewasdeveloped(seeannex2).

The interviews were carried out in four regions of Namibia, all with slightly different marketconditions regarding the demand and supply of firewood. Erongo, located at the coast ischaracterizedbyascarcityof firewoodsupply.Equally,KhomasregionwhereWindhoek is located,hasahighdemandforfirewoodbutlowcoverageofencroacherbushandthusfirewoodsupply.TheregionoflowestfirewoodsupplyisErongofollowedbyOshana,upinthenorthernpartsofNamibia.Inordertocomparethelocalmarketconditionsofregionsatalargerdistancetoabundantfirewoodsupplytoaregionissituatednearlargefirewoodoccurrence,Otjozondjupawaschosenasthefourthregionwherethefieldsurveywastobecarriedout.TheregionswereselectedjointlywiththeGIZSupporttoDe-BushingProjectaccordingtoregionalexperienceandscopeofthestudy.

Intotal,158householdswerevisitedandinterviewed. In addition, 8 publicbuildings and 16 SMEwere asked abouttheir demand for natural resources andwillingness to participate in potentialpilot initiatives. The households werechosen randomly in previously definedstrata of the Namibian society. Forinstance, only households that usedfirewood to some extent wereinterviewed, typically those of a low ormiddlerangeincome.Hence,thefindingsof this study do not represent arepresentative statisticalassessmentbutprovideanempiricallybased insight intothe energy demand and resource

consumption of the respective interviewgroups. The data was collected by usingtheopensourcesoftwareKoboToolbox.

Figure1Samplingregions

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Themostcommonfuelonregionalmarketsisfirewood.Kerosene,whichisusedforlamps,charcoalandLPGisknownbyrespondentstobeavailableontheaccessiblemarkets.SolarthermalandsolarPVapplicationswereknowntobeavailablebysomerespondentsaswell.Asked about those fuels that the respondents obtain regularly, thepicture becomesmoredistinct. The vastmajorityobtainsfirewoodonaregularbasis.LPG,charcoal,kerosene,petroleumandotherfuelsarepurchasedregularlyaswell,buttoamuchsmallerextent.Only15%oftherespondentsclaimedtoobtaincharcoalonaregularbasis,forinstance.

Firewood,LPG,keroseneandcharcoalarethemostimportantfuelsamongsttheinterviewedindividuals.

4. Energydemandassessmentresults5.1Naturalresourcesandaccessibilityonlocalmarkets

Theintervieweeswereaskedwheretheysourcetheirfuelsfrom.Firewoodismostlycollectedbythepeopleorsourcedviaafriend.About30%purchasefirewoodfromasellerandroughly10%gotoasupermarket.LPG,keroseneandcharcoalaremainlybought inanearbysupermarket.Petroleumanddieselarepurchasedatafuelstation.Apartfromfirewoodmostofthefuelswereobtainedinsmallshops.In regard to the frequency with which the people obtain their fuels, it can be observed that firewood isobtainedoneithera daily orweekly basis,andonly toa small extent for longer time frames. LPG ismostlyboughtonamonthlybasisandtoasmallextentyearly.Keroseneandpetroleumareboughtweeklyinabout50%ofthecases.

Figure2Marketavailability,frequencyoffuelsourcing

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Table1Householdenergydemand

5.2FocusonhouseholdsTable1illustratestheresultsfortheenergydemandregardinghouseholds.HighestenergydemandwasfoundinErongowith87,723MJperyear,followedbyOtjozondjupa(65,874MJperyear),Khomas(62,874MJperyear)andOshanashowinglowestannualenergydemandsper household with 42,054 MJ. Averaged for all households, a mean annual per capitaenergydemandof3,543Kwhwasderived.Thisfigurecorrespondswithfiguresidentifiedinotherstudies22.Otjozondjupa is the region with highest firewood consumption. Here, about 7.4 kg offirewoodareconsumedonadailybasis,mostlyforthepreparationoffood.Firewoodmakes

22KonradAdenauerStiftung,2012:Namibia’sEnergyFuture-Acaseforrenewablesintheelectricitysector.Availableat:http://www.kas.de/wf/doc/kas_34264-1522-1-30.pdf?130503111318

MJperyearand

household

Energymix FirewoodconsumptioninKgperday

LPGconsumptioninKgperday

DailyexpensesforenergyinN$

Erongo 87,723

5.6 0.9 65.4

Khomas 62,874

3.6 1.5 65.1

Otjozondjupa 65,058

7.4 0.6 19.8

Oshana 42,054

2.9 0.7 28.1

Energycontentreference:1kgfirewood:15MJ/Kg,1kgLPG:46MJ/Kg,1kgKerosene:46.2MJ/Kg,1LPetroleum:43MJ/Kg,1kgcharcoal:29.6MJ/Kg,Paraffin:46MJ/Kg.5.2peopleperhousehold

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up 63% of the household’s energymix.Only small amounts of LPG of about 0.6 Kgwerefoundtobeused inhouseholdsof this region.Accordingly, themeanexpenses forenergyarethelowestcomparedtotheotherregions,summingupto19.8N$perday.ThelowestdemandforfirewoodwasfoundinOshanawithadailyconsumptionof2.9kg.TogetherwiththealsoratherlowdemandforLPGof0.7kgperday,Oshanaseemstobetheregionwithanoveralllowenergydemand,whichcorrelatestothemarketaccessibilityandincome levels of the region, that are found to very low compared to other regions ofNamibia. The low market availability is underlined by a comparatively high expense forenergyof28.1N$perhouseholdaday.In Khomas, where most of the interviewed households were situated in the peri-urbanareas, particularly in the townships of Windhoek, the picture is different. Highest dailyconsumptionofLPGwassampledwithabout1.5kgperday.Firewoodcomprises30%oftheenergymixwithabout3.6kgperdayandhousehold.Thiscorrespondstothehighpricingintheregionandlowavailabilityofthisnaturalresource.Inaverage,ahouseholdpays65.1N$forenergyperday,thehighestvaluefoundforthefourregions.Erongo, situated at the coast shows highest demand for energy. In spite of firewood stillbeing themostcommon fuel (37%) in theenergymix,other fuels suchasLPG,petroleumanddieselgainmoreimportanceinthecoastalregion.Theexpensesforenergyaresecondhighestwith65.4N$perdayandhousehold.Inconclusion,itwasfoundthat2.5kgpermealmaybeslightlyoverestimatingthefuelwoodconsumption in thehousehold sectordependingon the region.Assuming thatonaverageabout two meals per day are prepared, a mean firewood consumption per batch wouldresultinabout2.5kginErongo;3kginOtjozondjupabutonly1.8kginKhomasorevenlessinOshana. In order to clearly identify the average firewood consumption permeal,moredetailed and stratified sampling would have to be undertaken. LPG is the second mostcommonsourceofcookingenergyinhouseholdsfollowedbypetroleumandkerosene.Themore urban the region and the further away from biomass the more important arealternative fuels in the households’ energy mix, which results in a corresponding priceincrease.

Figure33-stone-fireplace(left)andLPGrunstove

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Abouthalfoftheinterviewedhouseholdspurchaseacooking stove. This corresponds roughly to the resultfrom questions addressing the type of stove, whereslightlymore than half of the respondents use a 3stonefireplaceforcooking.Ofthosethatdopurchasea cooking stove, the supermarket followed by aspecial seller are the main sources of cook stoves.Only 5 % either build the stoves themselves or haveother sources. It ismostly themotherswho buy the

stove,witha thirdof thehouseholds stating that thefatherwouldbuythecookstove.Gas and electric stoves are second and third mostcommonformsofstoves.

Figure4Stovepurchase

5.3Focusoncookstovesinhouseholds

The intervieweeswere asked to rate howhappy theywerewiththestovetheycurrentlyused.Themajorityoftherespondentsaresomewhathappywiththeircurrentstove.Asked for important criteria that influence the decision for aparticular model of stove, the combustion rate, heat regulationand lifespan range amongst the most important criteria.Portability and visibility of flame rank least important. In aseparate question, the interviewees were asked whether acookingstoveneedstobestable.Morethantwothirdsconfirmedthatstovesneedtobestable.

• Onaverage,1.4stoveswerefoundtobeexistentperhousehold• Onestovelastsonaverage3.8yearsandcosts730N$• 69%regulatefirebywoodinput• 31%regulatefirebyairinflow• 67%useacookstovealsoforheating

Figure5Stoveperceptionofusers

Figure6Stoveandstability

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Asked about the sources of energy, therespondentsmainlynamedfirewood,followedby electricity and LPG. The combination offirewood and LPG was most relevant forrestaurants.

5.4Focusonsmallandmediumsizedenterprises

Asked aboutwhich aspect of energy supplyseemed most promising for animprovement, 39% of respondents claimedtheuseofafuelefficientcookstoveandtheprice for fuel as key drivers. Access to fuelplayedthethirdmostsignificantrole.Themajority of the respondentswould notlike to engage in the production ofelectricityontheirowngrounds.

A totalof19 SMEswere interviewedabout theirenergy demand. The majority provides grilledmeat,suchasthesocalledKapanas,forinstance.2 SMEs were engaged in small scalemanufacturingandtheproductionofgoods.

63% of the respondents would like toincrease their share of RE for their energysupply.Whenaskedhowtheywouldliketouse theenergy, electricitywasnamed first,followedbycookingenergyandtoaminorextent utilising the energy for theirproductionprocessdirectlyandheating.

Figure7SMEpurpose Figure8SMEnaturalresourcedemand

Figure9Howtoimprovetheenergysupply

Figure10WillingnesstoincreasetheshareofRE

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The interviewed SMEs have a meanenergy demand of 163 GJ per year. Thedailyconsumptionoffirewoodwasfoundtobe19.2kgperday,whereasthoseSMEthatmakeuseofLPGconsumeabout1.4kgperday. Thirdmost importantenergycarrier is charcoal with a meanconsumption of 1.3 kg per day, showingthat the consumption of charcoal in thebusiness sector is gaining relevance inNamibia. About 1 litre of Petroleum isconsumed per day making it the fourthmost important source of energy forbusinesses.Table 2 illustrates the identified energymix for the interviewed SMEs. Firewood and LPGconstituteabout79%of thenatural resources that supplyenergy to theSMEs.Petroleumandcharcoalare thesecondmost relevantgroup.Dieselplaysonlyaminor role for thoseSMEsthatparticipatedinthefieldsurvey.Thedailyexpensesforenergysumupto313.4N$perday.leadingtotheconclusionthatamoreenergyefficientgeneratingenergyhasalargepotentialforimprovingtheoverallenergysupplyforNamibianSMEs.Table2EnergydemandSME

GJperyearandhousehold

FirewoodconsumptioninKgperday

LPGconsumptioninKgperday

CharcoalConsumptioninKgperday

DailyexpensesforenergyinN$

Means 163 9.6 0.7 0.6 313.4 Energycontentreference:1kgfirewood:15MJ/Kg.1kgLPG:46MJ/Kg.1kgKerosene:46.2MJ/Kg.

1LPetroleum:43MJ/Kg.1kgcharcoal:29.6MJ/Kg.Paraffin:46MJ/Kg.

Figure11EnergymixSME

Figure12:SMEthatisproducingcookingstoves.

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Cooking• Onaverage,about380peopleareservedwith2mealsperdaythroughoutthewholeyear.• Themaindishesareporridge,beansandrice,servedwithmeat.• Publicbuildingsdonotusenaturalresourcesforspaceheating.

5.5Focusonpublicbuildings

The19 interviewedSMEsprovidedan insight intotheirenergydemand. Itshowedthaton

average about 22.4 kg of firewood areusedonadailybasis;mostoftheschools

claimedtobeprovidingmeals7daysaweek.2.5kgofLPGareusedandaremarkable5.4Lofpetroleum.Itisquitecommonfortheinstitutionalkitchenstouseacombinationoffuels,mostly firewoodand LPG.The summedupdailyexpenses forenergyequalN$728.2. Theyearlyconsumptionisestimatedtoamountabout226.9GJ.Table3Publicbuildingsenergydemand

GJperyearandbuilding

Firewoodconsumptionin

Kgperday

LPGconsumptioninKgperday

PetroleumConsumptioninLperday

Dailyexpensesforenergyin

N$

Means 226.9 22.4 2.5 5.4 728.2 Energycontentreference:1kgfirewood:15MJ/kg.1kgLPG:46MJ/kg.1kgKerosene:46.2MJ/kg.

1LPetroleum:43MJ/kg.1kgcharcoal:29.6MJ/kg.Paraffin:46MJ/kg.

8publicbuildingswereinterviewed.Mostof them (62%) were schools, onehospital, orphanage and publicadministrationbuilding. Inparticular,the schools who provide thenumerous children in institutionalkitchens seem to be a promisingframework for piloting large scalecookstoves.

Asked for the main use of energy in the public buildings, the respondents mainly named thepreparationof food, followedbyhotwatersupplyandspaceheating. Electricityplaysaminorrole.

The interviewed responsible stated in theirmajority that theperceive theexpenses forfuel ranging from expensive to veryexpensive.All of the interviewed are convinced thattechnology can reduce their fuelexpenses.7out of 8 respondents see a potential in afuel efficient cook stoves. Only one 1 outof8seesapotentialdecreaseforfuelcostsasapossibleoption.

Figure13Publicbuildingsenergyuseandpurpose

Figure14Publicbuildings:perceptionoffuelprize

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5.6FirewoodconsumptionFirewoodisthemostimportantnaturalresourceforhouseholds,publicbuildingsandSMEsamongstthesamplegroup.Thefirewoodismostlyboughtonadailyandtoaminorextenton aweekly basis. The firewood is generally obtained in the formof branches or logs. Inmanycases,thebranchesaretradedas10-20kgbundles.Thefirewood,soldinbagsinthesupermarketsplaysonlyaminorrolefortheinterviewedhouseholds.SchoolsandSMEs,suchasforinstancetheKapanastands,gettheirwooddeliveredneartothem. Households commonly obtain their firewood either by own collection; or -withincreasingdegreeofurbanization-fromanearbyfuelstations,sellersorthesupermarketsnearby.Inregionswherefirewoodisabundantmostoftheinterviewedhouseholdsprefertocollectthefirewoodthemselvesinsteadofpurchasingit.Thefirewoodisusuallynotstored,howeverasmostofthetradedfirewoodwasfoundtobedeadwood,moisture contentsof the firewoodat the timeof combustionare likely tobebelow12%,providinggoodconditionsforacleanandefficientcombustion.Pricesoffirewoodvarystronglyamongstthedifferentregionsandevenamongstthesamplegroupinoneregion.Table4showsthearithmeticmeansfromthefieldsurvey.Thehighestprice for firewood is paid the Khomas region with about N$ 28.5 for 10 kg of firewood,followed Erongowhere 24.7 N$ are paid for the same amount. Oshana, showed ameanpriceof18.7N$per10kgandOtjozondjupa,theregionwithhighestfirewoodabundance,theprice is lowestwith7.6N$ for10Kg.Theobtainedpricesfromthefield survey vary strongly, forwhichreasonthesepricescanonlybeunderstoodasreferencevalues.Aspricingand tradingof firewoodis often done informally, everybuyer enters individualnegotiationswiththeseller.Asthepopulation seems to mostlypurchasefirewoodonadailybasis,the price per weight sores up.Accordingly, it is no surprise thatthe obtained prices for firewoodare mostly higher than that for a10 kg bag in a supermarket ofWindhoek(20N$).Table4Prizesforcommonenergycarriers

Region 10kgfirewood 10kgLPG 10kgparaffin 10kgcharcoalKhomas 28.5 300 176 90

Erongo 24.7 250 176 90

Oshana 18.7 260 176 90

Otjozondjupa 7.6 245 176 90

Figure15Firewoodsalesplaceandscale

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5. ValuechaindevelopmentroadmapBiomass from encroacher bush has beenmade use of for a many years in Namibia. Thechallengesandopportunities for the localproducersarewell knownanddocumented23,24.Regarding the potential of encroacher based biomass to replace fossil fuels or outdatedcookingtechnologythefollowingframeworkconditionshavetobetakenintoaccount.

6.1Introductiontostrategicapproach ProposedpilotregionTheproductionofbiomass,e.g.firewood,fromencroacherbushislocatedintheregionsofKhomas,OmahekeandOtjozondjupa.Inordertobeabletoproduceanddistributefirewoodataneconomicallyfeasiblescale,afewunderlyinginterdependencieshavetobetakenintoaccount.Theradiusofdistributionofbiomassintheformofwoodchipsshouldnotexceed70km25.Theprofitmargin for thedistributionof biomass alsodependson thebulk density of theenergy carrier. The higher the bulk density of the biomass product, the longer theeconomicallyfeasibletransportdistance.Thisisinparticulartrueforindustrialapplicationssuchascogenerationfromwoodchipsorpellets,wherethethermo-chemicalconversionofbiomass isdonewithefficienciesofup to90%26.Regarding, theuseofeither firewoodorwood chips in fuel efficient cook stoves the influence of the bulk density is taken intoconsiderationwhenchoosingthepilotregionbuthasacomparativelylowsignificance.Taking intoaccount thatmostof thebriquettesareproduced inOtjozondjupabyCCFandtaking into consideration the impact of transportation distance, the following regions areeligibleforestablishingapilotproject:

• Otjozondjupa• Erongo• Khomas

ProposedformofenergycarriersAvailablebiomassproductsinNamibiaarefirewoodintheformoflogs,branchesandtwigs;woodchips,briquettesandtoaminorextent,pellets(viaimport).Anyprojectthatinvolvesthe delivery of biomass to the customers will have to tackle the challenges of biomasstransportation. In order to maintain profit margins for the energy service provider it isrecommended tomakeuseofdensifiedbiomass.Thismaybeeither in the formofwoodchipsorbriquettesofvaryingform.Thedistributionofcommonlytradedfirewoodbundlesisnot recommended as prevailing established structures on local firewood markets are

23AgraProVision,2015:SurveydevelopmentandimplementationinpreparationofaDe-bushingAdvisoryService24GIZSupporttoDe-BushingProject,2015:HarvestingNamibianEncroacherBush.25Statementsmadebybiomassprovidersduringthestakeholderinterviews.26BiomassforHeatandPower–TechnologyBrief:IEAandIRENA,2015.Retrievedfromhttp://biomasspower.gov.in/document/Reports/IRENA_Biomass%20for%20Heat%20and%20Power.pdfinAugust2016.

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difficult to influence. In addition, the costs for transportation for low quality firewood ofsmallbulkdensitiesaretoohightobaseaprofitablebusinesson.Table 5 shows the influence of bulk density on the number of loads it takes to transport5,000 tonnes. For theobjectiveof increasedefficiencyof the value chain, the consultantsrecommend to only consider wood chips or denser biomass products, such as woodbriquettes to be incorporated into project planning. Themain reason for this is the largetransportdistancethatoccurswithintheregionsinNamibia.Table5Densificationofbiomass

Formofbiomass kg/m3 Weightperload[t] No.ofloadsLoose 45 2.0 2,469Chopped 75 3.4 1,481Woodchip 100 4.5 111Briquettes 400 18 278Pellets 600 27 185Biomassquantity5,000tonnes,onetruckloadis45m3Regarding the overall efficiency of the value chain, it is recommended to consider thedistributionofwoodchipsandwoodbriquettes.Projectplanners shouldbeawareof theimpactoftheformofenergycarrieranditsinfluenceofstovetechnology.Pelletscannotberecommendedatthisstageduetothechallengesrelatingtotheoperationandmaintenanceofthepressingmachinery.FirewoodApotentiallyimportantvaluechainforencroacherbushbiomassisthatofhouseholdenergy(i.e. cooking and heating fuel). An estimated 550,000 tonnes of firewood are used inNamibian households per annum. Large parts of thiswood could be suppliedwith higherqualityandincreasedenergycontent,enablingincreasedeconomicopportunitiesforthoseselling and buying these commodities. A value chain can be established reducing illegallogginganddeforestation.Atthesametime,affordablefuelcouldbeprovidedtohouseholdsinruralandsemi-urbanenvironments.Thefirewoodmarketconditionsaredescribedinchapter5.BriquettesAboutfourbriquettepressesthatproducebriquettesareinstalledinNamibiaofwhichonlytwoarecurrentlyoperating.MostofthebriquettesareexportedtoSouthAfrica.Themainadvantage of briquettes is their higher bulk density. However, due to the large transportdistancesinNamibia,oneproducerwasrecentlyforcedtolookintocarbonizedbriquettestoreduce weight with the aim to further improve the relative energy density per kg oftransportedproduct.According to theproducer thebriquettesas theyarecurrentlybeingproduced still do not provide profitmargins that an economically stable business can bebasedon.Thetwomainreasonsforthisarethetransportdistancesandalowdemandforbriquetteswhichrelatestothefactthatbriquettesarenotofferedinallmarketsthroughoutthecountry.Anotherreasonforthisseemstobetheavailabilityofthebushbriquetteson

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localmarketsaswellas their form.Theyaretoo largetobeapplied inthecommonthreestonefireplaces27.Therefore, it isrecommendedtoproducebriquetteseitherintheformof“puks”(tubularbriquettesthatarebasicallybrokenintosmallerbitsofabout10cmlength).Likethistheycanbeusedeitheronthetraditionalfireplacesbutalsoonimprovedandcleancookstoves,suchasforexamplerocketstovesthatarechargedfromtheside.PelletsCurrently, no pellets are produced in Namibia. The closest pellet producer is situated inSouthAfrica. During the stakeholder interviews one lodgewas interviewed that stated tousepelletsforspaceheating.However,theyimportthepelletsallthewayfromFrance.The production of pellets demands for high quality and homogeneity of the biomass rawmaterial.Consideringthefeedbackfromwoodchipproducersthatencroacherbushbasedbiomasshasacomparativelyhighcontentofimpurities(e.g.sand),heterogeneousphysicalcharacteristics (due to large diversity of encroacher bush species) and uncommonly highmaintenancecostsfortheprocessingmachinery.CharcoalAfterfirewood,theproductionofcharcoal isthemostestablishedvaluechainforbiomassfromencroacherbush.Thereareabout600mainlysmallerandmediumscaleproducersinthe country with an annual production of about 100 000 tonnes. The charcoal is almostexclusivelyexported,e.g. toSouthAfricaandWesternEurope.Namibiancharcoal ishighlydemanded. It is produced from encroacher bush with extremely hard and heavy woodresulting in excellent charcoal qualities for barbeque. However, as mostly wood logs arecarbonizeda lotofbiomass fromthebushwhichcomprises smallerpartsof theplantaremorecumbersometocarbonize.Thecarbonizationof fineparticlesandcharcoaldustandsubsequentdensificationtobriquettesmightbeaninterestingoptionfordistributionontheNamibianmarketstomiddleandupperincomehouseholds.ProposedtechnologyCookingEnergy consumed for cooking - partiallyderived from fossil fuelsor consumedby cookingtechnologythatthreatenshumanhealth-inhouseholdsseemstobethemostsuitableforbeing substitutedby energy carriers basedonencroacherbush. Cooking is a daily activityandthemainenergydemandingactivityformostofdomesticenergyuseinNamibia.Uptothree meals per day are cooked in households, many of the public buildings especiallyschoolsclaimedtoprovideevenmoremealsperday.The main reasons for cooking energy being the most suitable sector for achievingsustainableimpactare:

1. 550,000toffirewoodareusedforcookingperyear282. Cooking with firewood is currently done in an unhealthy, unsustainable and

expensivemanner

27Asimplefireplace,constructedusingthreestones/bricksaroundafire.28MAWF/GIZSupporttoDe-bushingValueChainStudy(2015)

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3. Positiveimpactsofusingnewcookingtechnologyandhighenergydensebiomassarebecomingobviousquickly

4. Most of the interviewed individuals and SME support the approach of reducingexpensesbynewcookingtechnologyandbiomassfromencroacherbush

5. Thedemandfornaturalresources,suchaswoodwillremainconstantintheleastbutislikelytogrowaccordingtopopulationgrowthinNamibiaespeciallyintheruralandperi-urbanareas.

HotwaterHotwaterheatingbasedonbiomassismostlyrelevantforsmallscaleapplicationsuchasinthesocalledhotwaterdonkeys.Severalschoolsandhospitalswerereportedtohaveusedwoodforheatingwaterbutthesecouldnotbeidentifiedduringtheassessment.ForSMEs,suchastouristiclodges,solarthermalwaterheatingischaracterizedbylowereffortsfortheenergysupply,lowermaintenanceandonthelongrunevenlowerpricesforgeneratingtheenergyforhotwater.MostofthevisitedSMEsusesolarthermalwaterheating,already.Forhouseholds,theuseofbiomassbasedonencroacherbushismorerelevant.However,takingintoaccountthecustomersegmentsandtheirdemandforwarmwater,itappearsunlikelytoachieveamajorshifttootherformsofenergyastheexpensesfortheprovisionofenergyaretoohighinthelightofthebenefitsofusingbiomassfromencroacherbush.SpaceheatingSomeoftheinterviewedhouseholdsansweredtousetheircookstoveforspaceheatinginafewoftheverycolddays.Overall,spaceheatinginmiddleandlowincomehouseholdscanalmostbeneglected,whenconsideringthehigh investmentcostsandlowoperatinghoursperyear.Alsoininstitutionalscalespaceheatingisnearlyirrelevant.Basedonthefindingsfromthefieldsurvey,theconsumptionofnaturalresourcesforspaceheatingisinsignificant.Centralheatingsystemsbasedonwoodfuelscannotberecommendedforsporadicuse inNamibia.Themainconstraintsarethe lowoperatinghoursandthus largetimeframesforamortizationofthetechnology.CHPbasedonwoodgasificationWood gasification demands a lot of attention and time in its operation and tolerance ofsoiledhandsbyaresponsibleoperator.ThestateofdevelopmentandcurrentdistributioninNamibialeadtotheconclusionthatwoodgasificationisnotyetfullymarketableinNamibia.Taking careof residues suchas ashes, soot and tarry condensates is time-consuming.Notanytypeofbiomasscanbeusedasfuelandtherearebasicallynoorverylittleexperiencesregarding the gasification of biomass from encroacher bush. Many of the operationaldifficultieswhich face inexperiencedusersofgasifiersarecausedby theuseofunsuitablefuels. It isnecessaryformostdesignsthatthefuelpropertiesarekeptwithinfairlynarrowranges,which is challengingwith regard tobiomassderived fromencroacherbush. In thecaseofgasifieroperation,moreoftheresponsibilityforqualitycontrolofthefuelrestswiththeoperator.Someproducersadvertisethepossibilityofusingalmostanykindofbiomassin spite of gasifiers working well only with fairly homogenous. This created unrealisticexpectationsandhasledtodisappointmentswiththetechnologyinsomecases.Fulllocalmanufactureisconsideredpossibleincountriespossessingawell-developedmetalmanufacturing industry. Major parts of the installations could be manufactured in mostcountries. Applications are foreseen in small to medium size forestry and agro-allied

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industries(secondarywoodindustries,sawmills,coconutdesiccatingfactories,etc.)aswellasinpowersupplytoremotecommunities.In conclusion, it can be stated that under current circumstances regarding technology,availabletechnicallyskilledworkforceanddemandforenergy,thistechnologycanbecomeaviableoptionforSMEsoperatingoff-grid.However, to fullybaseaproduction lineonawoodgasifierappears tobetooriskyat thegivenmoment.Refilling,bridgingofbiomass inthe inlet,weakoruncleangas,condensateoccurrenceetc.Therearemanyaspectsofwoodgasification thatneed tobe trialed inanexperimentalmannerinordertofullystarttoupscaleandmultiplythepromisingtechnologyofwoodgasification.CustomersegmentsMarketsegmentationisanimportanttopicthatprovidesanswersonwhichproductsuitstheneedsofwhichgroupofcustomers.Intheframeworkofthisassessmentthemarketcouldnot be completely segmented. However, some relevant customer segments could beidentifiedbasedonthestakeholderconsultationsandfindingsfromthefieldsurveyandarelistedintable6.

Table6Customersegments

Segment DemandforEnergy

Purchasepower Suitabilityforpilotinitiatives

Low &middleincomehouseholds

Demand forfirewoodand LPGfor cooking on adailybasis

Expensesforenergyamountupto65 N$ per day and should notexceedthisamountwhichreachesupto65N$perday.

Households with some purchasepower situated in regions wherefirewood is scarce and prices arehigh would be the idealcustomers

Highincomehouseholds

Demand forbiomass only inthe form ofcharcoal forbarbeque or highquality firewood(commonlyMopanewood)

Customers have high expectationto charcoal or firewood andcommonly have environmentalawareness for the bushencroachmentissue.Thepurchasepowerofthissegmentsufficesthecosts of either charcoal orfirewood from encroacher bush.Quality and combustioncharacteristics are thedeterminingaspects.

Suitable for the introduction ofcharcoalbriquettesthataremadefrom encroacher bush. Cookingwith wood is not a promisingoptionforthiscustomersegmentas they rely mostly on gas orelectricity.

SMEs,e.g.Kapanas

High demand forfirewood, LPGandpetroleumonadailybasis.

Daily expenses of about 300 N$and ability to afford switching toefficientfuelstoves.

Suitable for the introduction ofcharcoal briquettes, wood puksand wood chips in gasifiers ifprovided food goes beyondbarbeque.

SMEProductiveuse

Irregular demandfor firewood, LPGandfossilfuels

Purchase power of theinterviewed SMEs could not bedetermined. Average fuelsexpenses are about 200-300 N$perday.

Productiveuse isnotapromisingoption for introducing biomassforgeneratingenergyinaregularbasis. The technology ofcogeneration is not well enoughdevelopedatthecurrentstageinorder to be proposed to thiscustomer segment that dependson a regular energy forproduction.

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Schools

Demand forfirewoodand LPGfor cooking on adailybasis

Daily expenses depend on thenumber of children but averagedin amongst the enquired schools.Purchase power is restricted,hence the amount for a newbiomass product has to have thesameoralowerprice.SchoolfeedprogramandMinistryare likely to support the projects’efforts.

Schools are a suitable institutionfor switching from costlyfirewood on inefficient cookstoves or fossil fuels to woodchips and efficient cook stoves.Theyhavelargestsavingpotentialperclient.

ConclusionsforthestrategicapproachBasedonthefindingsfromthefieldsurvey,stakeholderinterviewsandintensivediscussionwithlocalexperts,theconsultantsreachedthefollowingconclusionsforaroadmapfordevelopingvaluechainsbasedonencroacherbushforhouseholds,publicbuildingsandSMEs.

• Biomass from encroacher bush is most economically transported in the form ofbriquettesorpellets.Fordistributiontohouseholdsandpublicbuildings,briquettesarerecommended

• Woodchipscanonlyberecommendedforbatch-fedheatingsystems,briquettesorother more bulky forms of biomass are more suitable for side-fed cook stovesystems.

• For the observed scale and customer segments the use of wood chips cannot berecommended

• Spaceheatingisofminorrelevancewhenconsideringestablishingavaluechainbaseonencroacherbushas itsimply isnotcompetitivetosolarthermalapplicationsformostofthecustomers

• Woodgasificationisaveryinterestingandpromisingoptionofmakingthermalandelectricenergyfromencroacherbushbutcanonlyberecommendedtobeoperatedby an experienced institution on experimental scale. The market conditions arecurrently not sufficiently developed in order to recommend this technology on acommercialorprivatescale.

• To showcasewoodgasification and its opportunitiesbymeansof ademonstrationplant in an education center the level of interest in biomass technologies can beraised.

• Cookingtechnologyandenergycarriershouldcorrespondwitheachother for idealcombustion. Cooking technology, should be side-fed, such as the typical rocketstovessothatthecustomerscanmixbriquettesandcommonlyusedfirewood.

• Schoolsare themost suitablepublicbuildings for introducing thecombinationofanewfuel(woodpuks)andcookingtechnology.Examplesfromothercountriesinsub-SaharaAfrica.

Bymeansofthreepilotprojects,theuptakeofbiomassfromencroacherbushintheformofmodern and energy dense briquettes in combination with fuel efficient and clean cookstoveswillbedeployedinsuitableregionsandleadtoaquickspreadingoftheword.The teaching courses for commercial farmers by business angels in combinationwith theestablishmentofaBiomassInnovationCenterwherethetechnologyofwoodgasificationisdemonstrated toentrepreneurs, farmers, academics and visitorswill further contribute toraisingawarenessabout thenumerousopportunities thatbiomass fromencroacheroffersforNamibia. Pleaserefertothefollowingsectionswithmoredetailsonthepilotprojects.

ValueChainDevelopmentRoadmap-CookingandProductionbasedonEncroacherBush

23

6.2 Valuechaindevelopmentroadmap6.2.1Energyservice:woodpuksinimprovedcookstovesforhouseholdsThevaluechainforbushbasedbriquettesispartiallyexistinginNamibiaalready.Morethan4 briquette presses are installed of which two are currently operating. The two involvedacteurs are the Cheetah Conservation Fund (CCF) in Otjiwarongo as well theWoodcoMarketing and Distribution Ltd in Khomas, with CCF being the only producer at themoment.Mostof thebriquettes areof tubular type, the so called “Shemada”briquettes,andareintheirmajorityexportedtoSouthAfrica.Thiscircumstanceismainlyattributedtothe fact that local demand is too low and profit margins are higher inmarkets of SouthAfrica. The consultants understand that the shape in which the briquettes are producedunderminethelocaldemandinthehouseholdsector.Thetubularbriquettescannotbeusedin traditional fireplacesas theyare simply too large. Inaddition, thedistribution channelsare not fully established. Only few energy shops and supermarkets offer “Bush bloks”.Almostallpartsoftheinvaderbushcouldbeusedformakingbriquettes.However,themorefoliagetheharvestedplantshavethehighertheneedfordryingofthechippedbiomass.Theratiobetweenutilizablebiomassfromthebushtoresiduesshouldexceed4:1.InnovativeapproachtoincreasenationaldemandTheuseofbriquettesisapromisingvaluechainforbiomassbasedonencroacherbushinthecustomersegmentofhouseholds.Especially, incombinationwithefficientcookstovesthepotentialreductionofexpensesforcookingfuelcomparedtotraditionalfireplacescanreachmorethan40%.New inNamibia – this approachhasnot been conducted inNamibia.Upuntil now, cookstove initiatives focused mostly on technology. With this approach, a holistic approachcomprisingthecustomer, longtermservicebyanenergyserviceproviderthatguaranteesquality assured fuel and technical maintenance, and the technology29 will come toNamibia.Inaddition,theburdenofestablishingasupplychainforthestovecanbeavoidedbereliableandeconomicimportfromSouthAfrica–theZAMArocketworksstove.Three key activities are necessary for strengthening this value chain and accelerating thenationalconsumptionofencroacherbushbasedbiomass.

1. Sizingofthebriquettesforuseinsidefedcookstovesand/ortraditionalfireplacesWeproposeanewsizingofthetubularbriquettessothattheyareapplicableinboth,thetraditionalthreestone fireplaces and fuel efficient side fed rocketstoves. In order to produce the so called “woodpuks”,onlyminormodificationstoexistingbriquettepresses are needed. The briquettes which usuallycome in tubular shape of about 30 cm length just

havetobebrokenintosmallertubesofabout10cmlength. One of the producers already confirmed a

29Micro-gasification:cookingwithgasfromdrybiomass,ChristaRoth,2014

Figure16Woodpuks

ValueChainDevelopmentRoadmap-CookingandProductionbasedonEncroacherBush

24

willingnesstomodifythebriquetteproductioninsuchawaythatthebriquettesaresuitableforapplicationinthefuelefficientcookstovesandfireplaces(seefigure16).

2. ServicethatcombinestheappropriatefuelwithanefficientcookstoveOneofthemainhurdlesinthedistributionoffuelefficientcookstovesisinitialinvestment.However,thewillingnesstoadapttousinganewtechnologybycustomersisratherlowifatechnology is merely provided without anything in return. An innovative and promisingbusiness model replaces the burden of a high initial investment by a gradual capacitybuildingtowardssustainablewillingnessofcustomerstoparticipateintheeffortstoamorefuelefficientwayofcooking.Insteadofpurchasinganexpensivestove,thecustomersagreetoaservicepackageoveragivenperiodoftime.Theypayeitheraweeklyoramonthlyfeeandreceiveacookstoveandstablesupplyofwoodpuksinreturn.Themonthlyfeewillbelower thanwhat the customers spentonnatural resourcesbeforeagreeing to the servicecontract. The service provider will support the customers if questions about use andmaintenanceofthecookstovearise.

3. MarketinganddistributionofwoodbriquettesonthelocalmarketsMarketinganddistributionvia localchannelsareakeysuccessfactorforthispilotproject.Theserviceproviderthatadministratesthecustomers,providesguidanceforcustomersandservice for the cook stove aswell as delivery of thebiomass.Marketingmeasures shouldfocus on reaching out to customers by demonstrating the potential reduction of energyexpensesbyusingfuelefficientcookstoves.Amarketingcampaigncomprisingvisitstofairs,broadcastsandprintmediaformsacentralpillarofthepilotproject.TheBicycle EmpowermentNetworkNamibia (BEN) is active throughout the country andselling second hand bicycles from a container. They could be a potential partner, bydistributingwooddirectlytoendusersasaservice.ContactstotheCEOofthenetworkareestablishedandpossiblecooperationforthepilotprojectcanbeelaborated.The Shack dwellers federation and the Namibia Housing Action Group are two otherstakeholdersthatexpressedinterestinsupportingtheprojectefforts.Due to the high pricing for firewood and proximity to the briquette producers, themostsuitablepilotregionwouldbeKhomaswherelowandmiddleincomehouseholdsaremostrelevanttargetgroups.Itisenvisionedtostartwiththesupplyof150-200households.

EfficientlowemissioncookstoveZAMAStove, is a side fed rocket stovecharacterized by an extremely high energyefficiency and very low emissions. It reduces thedemandforbiomassbymorethan40%comparedto a three-stone fire. This ratio can be furtherincreasedbytheuseofqualityassuredandenergydensebiomass suchasbriquettes. In total, a fuelwood reduction of more than 50% is a realisticvalue.TheZAMAstoveisremarkableinitsdesignas its individual parts are made from metalresidues that can be found throughout thecountry resulting in a very high acceptance ofcustomers. ZAMA stove is produced in SouthAfricaandeasytoimporttoNamibia.Itcanmake

Figure17ZAMAstove

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25

useofwoodpuksaswellasconventionalwoodybiomass. It isasidefeedstovethatdoesnotneedabatchfilling.ItisstableandsuitableformostofthecommonlyusedcookingpotsinNamibia.ThepriceofoneZAMAstoveisN$350andisexpectedtolastabout5yearsifusedonadailybasis.WoodpuksfromencroacherbushaspartofaservicepackageJustlikewithamobilephonecontract,thecustomerdoesnotneedtopaythenewphoneatoncebutagreesonaservicepackageforafixedtimeperiodthatcombinestheserviceforthecookingtechnologyandthefuelsupply.Thecustomersagreetopurchasethebiofuelsfromtheproviderforacertaintimeframe.Thefuelisdeliveredbytheserviceproviderandcompriseswood chipsorwoodbriquettes that couldbe split and reduced in size to formchunkybiomasswithbeneficialphysicalcharacteristicssuchasdensityandcalorificvalue.Anewformofwoodbriquettescalled“woodpuks”areverysuitableforthisapplication.Initsshapeitissimilartotheformoffirewoodthatisappliedalready.Inaddition,thecustomersmaycontinuetocollectfirewoodbythemselvesandfueltheZAMAstove.Aftertheminimumtimeframeoftheservicepackagehaspassed,thecustomerscancanceltheir subscriptionon amonthly basis. The fee can either bepaidweekly ormonthly. Therevenue from the production of wood puks will amortize the ZAMA stoves and pay theoverheadcostsfortrainingsofcustomers,maintenance,fuelproductionanddistribution.DeliveryandMaintenanceServiceasaproductThedistributionofanewtechnologyusuallygoesalongwithatimeoftroubleshootingandadaptingtothenewcircumstancesforthecustomer.Thedeliveryoffuelshouldgohandinhandwiththeprovisionoftechnicalassistance.Thetechnicianthatensuresaproperservicetothecustomersensuresthatthecustomershaveallquestionsanswered. Inaddition,thetechnician maintains the cook stoves and ensures a reliable functioning of the cookingtechnologyupontheregulardeliveryofthebiomass.

Activities&ResponsibilitiesThispilotprojectcomprisesavarietyofactivitiesthatcanbegroupedinfourphases.Atfirst,preparatory tasks have to be implemented. Part of this is establishing or contracting theenergyserviceproviderasthemainstakeholder.Theenergyserviceprovideridentifiestheproject’sobjectivesandcaresforclarificationamongstallinvolvedstakeholders.Inthesecondphase,allkeyactivitiesforsettingupthebusinesswillbefinalized.Thecookstovewillbedesignedandadaptedtotheregionalcircumstances,thebusinessmodelandmarketingcampaignwillbedeveloped,validatedandsetup.In the third phase, the energy service provider will start to implement the project. Thestoves are going tobe sold and service contractswill bemadewith the customersof theselectedpilotarea.Biomassintheformofwoodpukswillbepurchasedonstock.In the fourth phase of the project, lessons learned are going to be incorporated in thebusiness model if need. Once this is achieved, up-scaling and multiplication should beconducted.

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26

Figure18ActivitiesWoodpukshouseholds

Marketingapproach

Thecustomersreducetheirexpensesforheatingandcookingbyreachinganagreementforanominalservicefeethatrequiresalowerexpenseforfuelthanwhattheycurrentlypay.Thecontractcanbecancelledmonthlyanddoesnotengagethecustomersforthelongtermin spite of providing incentives to long term engagement. Media, such as TV, Radio andsocial media will support the dissemination of the offer. Wood puks may benefit ofcoordinated marketing efforts in selected target regions and particularly with identifiedcustomergroups.Acommunity inapilotregionwillbe identifiedinordertoparticipate inthetrialrunoftheproject.A5-personhouseholdcanreduceitsexpensesforfuelwoodbyupto50%,acquirenewcookingtechnologyandreducethenegativeimpactsofindoorcombustionofbiomass

withhighqualityfuelandefficientcookstoves.

ScalabilityAn estimated 500,000 t of firewood are used in Namibian households per year. Manyhouseholds,inparticularthoseoftheKhomasregion,spendconsiderableamountsofmoneymoreforfirewoodthannecessarybecausethecustomerspurchasedailyfirewoodamountsthattendtobemoreexpensive.Theservicecontractwillsupportthecustomersinreducingthese expenses by a combination of higher fuel wood quality and efficiency of the cookstoves.Oncetheproofofconceptisachieved,multiplicationandup-scalingshouldbedonewithease.Thebiomasssupply issecured,thedemandandneedforcostreductiononthedemand side is large. Furthermore, the legal framework and political may support anupscalingofahealthyandresourceefficientuseofhouseholdenergybasedonencroacherbush.

Preparation

•Contractingofenergyserviceprovider•Stakeholderinvolvementandprojectimplementation•Stoveimport andassembly

Businessdevelopment

•Developmentofthebusinessmodeland servicepackage•Developmentofmarketingcampaign

Implementation

•Distributionofstovesandbiomassrawmaterial•Operation,MonitoringandImprovementofbusinessperformance•Marketing

Follow-up

•ImpactassessmentUpscaling/Multiplication

ValueChainDevelopmentRoadmap-CookingandProductionbasedonEncroacherBush

27

CostsandBenefitsTable7showsaroughestimateforcostsandbenefitsforonehouseholdandfortheenergyservice provider. This cost benefit analysis is only an approximation as costs and benefitsrelated toemployment, health, time savings etc. arenot considered. Furthermore, all theadministrative costs, installation of a production and storage facility and machines fortransportationarenotfullyconsidered.Ahousehold inKhomasregionconsumesabout3.6kgof firewoodperdayandspendsonaverage, including the use of additional fuels, about 65.7N$ per day on energy. In total,energy isexpectedtocosta5personhousehold intwoyearsaround48,034N$. Includingthe cost for a cook stove of amean 380 N$, the total expenses for provision of cookingenergyareestimatedtoamount48,413N$intwoyears.Inthescenarioofthe“ServicePackageWoodPuk”expensesforfirewoodandcookstoveareincorporatedinthemonthlyservicefee.Thehouseholdcanexpecttopayonlyabout35,040N$inthetwoyears,whicharecomprisedof24paymentsof1,460N$.Thisisacostreductionofabout30%,inadditiontothetimesavingandhealthbenefits.

Table7Costbenefitanalysiswoodpukshouseholds

For the energy service provider, the situation is as follows: 195,000 of wood puks areneeded to supply the 150 households with the energy they need. Based on the price of2,050N$pertonofwoodpuks(francofactory)expensesforrawmaterialaregoingtobeatleast399,750N$.Expensesforthecookstovesaregoingto65,700N$,keepinginmindthattheimportcostsmightincreasetheprice.Transportationcostsareestimatedtoaccountfor5.8N$perkgofwoodpukifthepilotregionsdonotspreadoveraverylargearea.Togetherwithalumpsumof21,750N$permonthforlaborforce,atotalof1,653,000N$areneeded

Households EnergyServiceProvider Firewood

statusquoServicePackage

Energydemand Firewoodconsumption 2,600kg 1,300kg 195,000kgwoodpuks

Expensesforfirewoodin2yearsinN$

48,034 399,750

ExpensesforcookstoveN$

380 150*438=65,700

ServicePackageFeeinN$ - 1,460*24=35,040

35,040*150=5,256,000

Transportation/servicecostsN$

24*21,750(employment)=522,000

195,000kg*5.8N$/kg=1,131,000

TotalexpensesN$ 48,414 35,040 2,118,450TotalincomeN$ 5,256,000

Totalprofit/savingsN$ 0 13,347 3,137,550Assumption:3.6kgperdayfirewoodin5personhousehold.66N$perdayexpenses,2,000N$pertofwoodpuks

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28

fortheprovisionofthebiomassandservicetothecustomers.Thisvalueislikelytobehigherinreality.Intotal,theexpensesfortheenterprisesumuptoatleast2,118,450N$inthetwoyears. Assuming that 150 households pay 1,460 N$ per month to the enterprise, thebusinessopensuplucrativeopportunities.Anestimatedmaximumprofitof3,137,550N$intwoyearscanbeexpectedbasedonthisbusinessmodel.Itshouldbenoted,thatthisprofitisnot likely tobeachievedascosts for theproductionfacility,administrationanddeliveryarelikelytobehigher.However,itgetsclearthatthisbusinessmodelshouldbeinvestigatedmorecarefully.StakeholdersThefollowingstakeholdersarerelevantfortheimplementationofthispilotproject.Mostofthestakeholderswereinformedabouttheoptionofjointlycontinuingtheeffortstowardsapossible pilot project. Table 8 provides a list and the current status regarding the latestcommunication.Table8Potentialstakeholdersforthepilotofwoodpuksinhouseholds

Stakeholder StatusShackDwellersFederationof

NamibiaInterviewedaskeystakeholderandpotentialpartnerfor

identificationofthehouseholdcommunity.NamibiaHousingGroup Interviewedaskeystakeholderandpotentialpartnerfor

identificationofthehouseholdcommunity.DirectorateofForestry Potentialpartnerfortheimplementationofthepilot

projectandpoliticalsupportformultiplication.ClaudeBoschArchitects Interviewedaskeystakeholder.Expressedinterestin

beinganenergyserviceprovidingcompany.N-BiG Interviewedaskeystakeholder.Expressedambitionto

supplysufficientbiomasssuppliesforapilotproject.TheBicycleEmpowerment

NetworkNamibiaApproachedwiththeprojectidea.Mightbeapossiblepartnerforthelocaldistributionofthebiomasstothe

households.TimcoBusinessOperations

(Pty)LTD(AntonDresselhaus)Informedaboutthepossiblepilotprojectandinterested.TheycouldsupplyKhomasastheyareproducingfodder

andwoodwillbetheiradditionalproduct.EnvironmentalInvestment

FundPotentialpartnerfortheimplementationofthepilot

projectandpoliticalsupportformultiplication.NUST/NEIthroughEnergy

ShopsFavorablepartnersforlocaldistributionofbiomassand

multiplicationofthebusinessmodelJumboCharcoal JumboCharcoal-particularlysupplyingthecoastasthey

alreadyhavedeposinWalvisBayandcurrentlystartingwoodsupplyasadditionalproduct.

ProjectcostsoverviewTable9providesanoverviewtothecostsrelatedtotheimplementationofthepilotproject.Thetimeframeisscheduledforoneyear.GIZandtheenergyserviceprovidershouldfindanagreementonsharingtheburdenofinvestmentcostsrelatedtothepurchaseofastockof

ValueChainDevelopmentRoadmap-CookingandProductionbasedonEncroacherBush

29

rawmaterialandtheZAMAcookstoves.150cookstovesandabout300tonsofwoodpukscouldbeboughtinafirstbatch.Consulting for the project development and overall project management should beaccounted for with about 200,000 N$. Capacity development for the energy serviceprovider,thetechniciansthatgotoservicethehouseholdsisakeyactivityoftheprojectandshould be accounted for with 146,000 N$. Development of a marketing campaign andsupportforthedistributionoftheprojectsobjectivesformanotherrelevantcostposition.Intotal,theprojectcostshouldnotexceed934,700N$ofwhichafairpartcanbeconsideredtobepaidbackintheformofaloan.Table9Projectcostswoodpukshouseholds

Costposition Est.costinN$ StakeholderresponsibilityLoanforpurchasingof150

stoves+import65,700 GIZ/Ministry

Purchasingofbiomassfor1st6months(300tat1,500N$

pert)

450,000 GIZ&Energyserviceprovider

Consultingprojectdevelopment

200,000 GIZ

Capacitydevelopment 146,000 GIZ/MinistryMarketing 73,000 GIZ&Energyservice

providerTotal 934,700

TimeframeFigure19showstheanticipatedtimeframefortheimplementationofthepilotproject.Itisestimatedthattheprojectcanbereadytobeupscaledinaboutoneyear.Asthebiomassisalmostfullyavailableandthecookstovesonlyhavetobeorderedandimportedthemerehardwarefortheimplementationisnotaconcern.Developingthebusinessmodel,capacitybuilding for the service providers and establishment of the energy service providingcompanyareofmuchlarger.

Figure19Timeplanwoodpukshouseholds

Activity Month

1 2 3 4 5 6 7 8 9 10 11 12

1.Contractingofenergyserviceprovider 2.Stakeholdernegotiations/projectscope 3.Developmentofthebusinessmodel 4.Developmentofmarketingcampaign 5.Importstovesandpurchasebiomass

6.Rollout/projectimplementation 7.Operationandimprovementofbusiness 8.Upscaling/Multiplication

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30

6.2.2Energyservice:woodchipsforlargescalecookstovesinschoolFor the purpose of modernising institutional kitchens inpublic buildings a larger type of rocket stove is necessary.The recently developed ZAMA Jumbo from SouthAfrica isan innovative and suitable model for this purpose. IT isdeveloped for the use in institutional kitchens and isadaptedfortheusewithpotsofacapacityofupto150L.Itreducesthedemandforfirewoodbyupto40%.Inaddition,with the use of wood puks the demand for biomass canfurtherbyreduced.TheZAMAJumbostoveisremarkableinits design as its individual parts are made from metalresiduesthatcanbefoundthroughoutthecountryresultingin a very high acceptance of customers. ZAMA stove isproducedinSouthAfricaandeasytoimporttoNamibia.In particular, in institutional kitchens with a dailyconsumption of more than 20 kg of firewood, significantsavingscanbeachieved.Thehigherthesavingsofbiomass

the higher the potential profit margins for the energy service provider. In Malawi, forinstancesomeinstitutionalstoveswereintroducedabout10yearsagoalready.Withoutthesupportofanyadditionalfunding,thesestovescontinuedtoreplacetheconventionalwayofcookingasthereducedexpensesforfuelconvincedthecustomersandquicklythewordhadspread.New in Namibia – up until now, no improved cook stove for institutional, large scalekitchenswaspromotedinNamibia. Incombinationwithacontinuousserviceandaqualityassured fuel, thecustomerswill reducetheirexpenses for fuelandat thesametimecookwithhigherwellbeingas lessemissionsoccurduring theprocess. Inparticular, theholisticapproach–aligningtherequirementsofthecustomer,thefuelandthecookingtechnologyand channeling30 these by a long term service culture, is new and promises long termsuccess.WoodpuksasaproductForinstitutionalkitchensofschools,thewoodpuksarethemostbeneficialfuel.Theyhaveaconstantquality, lowwatercontentsandareeasy toestablishon themarket. Inaddition,theyareidealfortherocketstovethatwherebiomassissidefedandhaveanenergydensitythat enables transport of up to 70 km distance under given circumstances in Namibia.Correspondingtothepilotprojectfocusingonhouseholds,aserviceproviderwilldeliverthefuel to the customers and supportwithmaintenance activities. A service contractwill bemadeandtheenergyserviceproviderwillsupportthepublicbuildingsinallconcernsrelatedtotheprovisionofenergyforcooking.Almostallpartsoftheinvaderbushcouldbeusedformakingbriquettes.However,themorefoliagetheharvestedplantshavethehighertheneedfordryingofthechippedbiomass.Therationbetweenutilizablebiomassfromthebushtoresiduesshouldexceed4:1.

30Micro-gasification:cookingwithgasfromdrybiomass,ChristaRoth,2014

Figure20ZAMAinstitutionalstove

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DeliveryandMaintenanceServiceasaproductThedistributionofanewtechnologyusuallygoesalongwithatimeoftroubleshootingandadaptingtothenewoperationforthecustomer.Thedeliveryoffuelshouldgohandinhandwiththeprovisionoftechnicalassistanceandcapacitybuilding.Thetechnicianoftheenergyserviceprovidershouldmakesurethatcustomershaveallquestionsregardingtheoperationanswered. In addition, the technician maintains the cook stoves and ensures a reliablefunctioningofthecookingtechnologyupontheregulardeliveryofthebiomass.CostBenefitTable 10 illustrates the costs and benefits for a school kitchen and those of the Energyservice Provider. The average public building has an energy demand of about 460 GJsummedupfortwoyears.180GJcanbeattributedtofirewood,60GJtotheuseofLPGandtherestisassociatedtotheuseofpetroleum.ThewoodpukscanreplacetheuseofLPGandreduce the relative shareof firewood consumption. If a public buildingused11,960 kgoffirewoodand1,250kgofLPGintwoyears,itcanthenprovidethesameamountofenergyby12,000kgofwoodpuks.Forthisevaluationit isassumedthatthemonthlyservicefeesumsis10,000N$leadingtoaccumulatedexpensesof240,000N$.Comparedtothecurrentexpensesthepublicbuildingcanachievesavingsofalmost141,000N$intwoyears.Table10Costbenefitwoodpukslargescalekitchen

Schoolkitchen EnergyServiceProvider Status

quoServicePackage

Energyconsumption 460GJ Firewoodconsumption 11,960

kg(180GJ)

12,000kg 120,000kgwoodpuks

LPGconsumption 1,250kg(60GJ)

Petroleumconsumption Energyexpensesin2years

inN$379,600 245,280

ExpensesforcookstoveinN$

2,200 2,000*10=20,000

ServicePackageFeeinN$ - 10,000*24months=240,000

10*240,000=2,400,000

Transportation/servicecostsN$

24*14,600(employment)=350,400

120,000kg*6N$/kg=720,000

TotalexpensesN$ 381,800 240,000 1,335,680TotalincomeN$ 2,400,000

Totalmaximumprofit/savingsN$

141,800 1,064,320

Assumptions:23kgperdayoffirewood1,040N$dailyenergyexpenses,2,000N$pertofwoodpuks.30%fueldemandreductionEcontentfirewood:3.6MJ/Kg

Energycontentreference:1kgfirewood:15MJ/Kg,1kgLPG:46MJ/Kg,1kgKerosene:46.2MJ/Kg,1LPetroleum:43MJ/Kg,1kgcharcoal:29.6MJ/Kg,Paraffin:46MJ/Kg.

ValueChainDevelopmentRoadmap-CookingandProductionbasedonEncroacherBush

32

Thesituationfortheenergyserviceproviderisequallylucrative.Thepriceforthewoodpuksiscomparatively lowsothat inordertosupplythe10publicbuildingswiththewoodpuksexpenses of 1,335,680 N$ for the two years are expected to result as a minimum. It isexpected that the transportation costs will be lower per unit as larger shipments will beunderdone in cooperation with the schools and the restaurants. Benefits associated toreduced health risks and substitution of LPG by renewable energy wood have not beenconsidered.Activities&Responsibilities&IndicatorsofachievementTheactivitiesandresponsibilitiescorrespondsmostlytotheaforementionedprojectrelatingto households. Four phases mark the development of the pilot. In the preparation, theenergyserviceproviderwillbeidentifiedandpossibleschoolsareapproached.Thebusinessdevelopmentresultsinabusinessmodelforpublicbuildingsandotherlargescalekitchens,frameworkforamarketingcampaignandhowtodeploythecapacityformaintenanceandservicetothecustomers.MeanwhilethestovescanbeorderedfromSouthAfricaandthenassembled. Thenbiomass rawmaterialwill be purchased andwoodpuks produced.Afterthetheactualimplementationstartsandstoveswillbedistributedandclientsprovidedwiththe service package. Last but not least, appropriate impact assessment andmeasures formultiplicationandupscalingwillbedeveloped.

Figure21Activitieswoodpukslargescalekitchens

MarketingapproachPublicbuildingshavetheopportunitytodemonstratetheirsupporttowardstherestorationofrangelandsinNamibiaandsupportthegovernmenteffortsinthatregard.Thewoodpuksincombinationwiththetechnologyofgasification leadtoreducedexpensesforthepublicbuildings. The new way of generating cooking energy decreases indoor air pollution andpromotes a healthy working environment for the employees. In the case of schools, themodern cook stove technologymight even serve as example to promote climate-friendlytechnologiesincombinationwithNamibia’seffortstoreducebushencroachedfarmlandtothechildrenoftheschool.

Preparation

•Contractingofenergyserviceprovider•Developmentofthebusinessmodelforpublicbuildings

Businessdevelopment

•Stoveimportandassembly•Developmentofmarketingcampaign•Capacitybuildingfortheserviceproviders

Implementation

•Purchasingbiomassrawmaterialandproductionofwoodpuks•Operation,MonitoringandImprovementofbusinessperformance

Follow-up

•ImpactassessmentUpscaling/Multiplication

ValueChainDevelopmentRoadmap-CookingandProductionbasedonEncroacherBush

33

StakeholdersFor implementing the pilot project amongst large scale kitchens a diverse group ofstakeholders are relevant. The Ministry of Education and the Environmental InvestmentFund are key stakeholders in providing and administering public support regarding theschools.Thetwoschoolsthatwerevisitedduringtheassessment,aswellastherestauranthavealreadybeenapproachedwiththeideaforthisprojectandexpressedstronginterestinparticipation.TheymightneedsomesupportfromMinistryofEducationbutthisremaintobescopedinthebeginningoftheproject.Table11Stakeholderswoodpukslargescalekitchens

Stakeholder StakeholderresponsibilityMinistryofEducation Supportandmultiplicationofthepilot.

EnvironmentalInvestmentFund Responsibleforbusinessangels.EnergyServiceProvider Salesofstovesandbiomass,responsible

providerofservicepackageN-BIG Facilitationofthesupplyofsufficientamounts

ofbiomassforbriquetteproductionGIZSupporttoDe-BushingProject GIZ&Energyserviceprovider

Woodpukproducer–WoodCoorCCF ProducebriquettesSchools Clientsandbeneficiariesofthebiomassand

cookstove.PromotionofthetechnologySoiniRestaurant Beneficiaryandwillingtoparticipatein

purchaseofanewstoveProjectcostsTable 12 provides an overview to the estimated project costs for introducing large scalerocketstovesandhighqualitywoodpukstobeusedininstitutionalkitchens.Itisassumedthatthisprojectisgoingtobeimplementedinajointeffortwiththeaforementionedprojectaddressinghouseholds.Thisresultsinsynergyeffectsandreducedthecostsofeachproject.Itisenvisionedtostartwithanorderof10ZAMAstovesdesignedforinstitutionallargescaleproducers.10stovescostaround22,000N$.Inaverage,23kgoffirewoodareusedperdayineachkitchen.Inoneyear10customerswillconsumeroughly90tofbiomass.Purchasingthefirstbatchofwoodpuks,leadstocostsof135,000 N$. Consulting for the project development and management, capacitydevelopmentaswellassupportformarketingthenewproductandtechnologyaccountfor140,000 N$. In total, the project addressing large scale kitchens should amount about297,000N$.Table12Projectcostswoodpukslargescalekitchens

Costposition Est.costinN$ StakeholderresponsibilityLoanforpurchasingof10

largeZAMAstoves+import22,000 Ministry/EnergyServiceProvider

Purchasingofbiomassfor1st6months(90tat1,500N$pert)

135,000 GIZ&Energyserviceprovider

Consultingprojectdevelopment

70,000 GIZ

Capacitydevelopment 50,000 GIZ/MinistryofEducationMarketing 20,000 GIZ&Energyserviceprovider

Total 297,000

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34

TimeframeThis pilot project should be implemented in a time frame of about 12 months until thebusinessmodel isprovenand thepublicbuildinghavestarted tosignificantly reduce theirfossil fuel and biomass consumption. 2-3 months for establishing the energy serviceprovider, thebusinessmodel and importing the stoves.Aftermonth four the roll out anddeliveryofthelargescalekitchenscanstart.Closeattentionwillhavetobeputontrainingofthetrainers(seefigure22).

ScalabilityThepublic buildings, in particular the schools, donot consumeenergy for thepurposeofspaceheatingbutprovidefoodforthepupilsonaregularbasis.Namibiahas1,723schools,119 private schools and 1,604 government schools31 and thus has a huge potential forsubstituting common firewood or even LPG by biomass based on encroacher bush. Incombinationwiththelargesavingpotentialperschool,multiplicationtootherschoolsandregionsisaveryfavorableoption.

31https://en.wikipedia.org/wiki/List_of_schools_in_Namibia

Figure22Timeplanwoodpukslargescalekitchens

Activity Month

1 2 3 4 5 6 7 8 9 10 11 12

1.Contractingofenergyserviceprovider 2.Stakeholdernegotiations/projectscope 3.Developmentofthebusinessmodel 4.Developmentofmarketingcampaign 5. Import stoves and production of woodpuks

6.Rollout/projectimplementation 7.Impactassessment 8.Upscaling/Multiplication

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6.2.3BioenergyInnovationCentertoshowcasewoodgasificationTheCheetahConservationFundhas recently started to construct anew facility called theBiomassTechnologyDemonstrationCentre(BTDC).TheprimaryobjectiveofthiscenteristosupporttheuptakeofbiomasswithinNamibia.Locatedintheproximityoflandcoveredwithupto15tonsperhectareofencroacherbush,thecenterisideallyplacedfordemonstratingtheopportunities related tobiomass technologies.TheBTDCdrawsona largenetworkofacademics, researchers,andengineersto implement,evaluateandvalidatebiomassbasedtechnologies.OverthepastdecadeCCFhasbeenaleadingresearcherintheareaofthornbush harvest methods in Namibia and the currently produced Bushbloks are even FSCcertified.OtherformsofrenewableenergytechnologiesandmicrogridapplicationsarealsoevaluatedattheBTDC.Afterafirstinterview,thepremisesoftheCCFandthenewlyanticipatedBTDCseemtobeanidealsiteforbuildingapartnershiptojointlydemonstratethebenefitsandchallengesofwoodgasificationtechnologyinNamibia.Thefinal roleoftheBTDCwillbeeducationandtraining.Theproductionfloorandnearbyclassrooms at the CCF will be used train workers on equipment operation, safetyprocedures,useofpersonalprotectiveequipment,employment lawandother topics.Livefieldtrainingwillcover importanttopicsforplanningaharvest,safety intheenvironment,harvestequipmentoperation, and implementationof FSC-compliantmethods.Communitybasedbusinessesandentrepreneurswill receiveadditionaleducationontheeconomicsofbiomass businesses, distribution/transportation alternatives, and access to local andinternational capital. Additionally, the BTDC will welcome international and Namibiaacademicinstitutionsforstudenteducationandasabaseforcontinuedresearch. TechnologyandproductIfbiomassisanabundantresourceandreliablesupplyofhomogeneousqualityisgiven,thetechnology of Combined Heat and Power (CHP) based on wood gasification can be apromisingandeconomicallyviableoption.Theoverallefficiencydependsontheuseoftheheatthatisgeneratedduringthethermo-chemicalconversionofthebiomass.AttheBTDCthe generated heat can be used for the process of makinggoat cheese, cooling the cool houses and heating thewoodchips that aredried for theprocess of briquetteproduction.There are various options for making use of the thermalenergywhich canbe taken into considerationduringprojectdevelopment.TheelectricitycanbeusedinthemicrogridoftheBTDC,themachineryofthegoatcheesecreameryandthebriquetteproduction.ThegasifierisnotexpectedtorunonadailybasisbutbeasignificantsupplementtothecurrentwayofgeneratingelectricityattheBTDC.All Power Labs Ltd. (APL) is a global leader in small-scalegasification technology that make biomass-fueled powergeneratorsforeverydaywork.APL’scompactgasifiersareatwork inoverthirtycountries,andsupportresearchatmorethanfiftyuniversitiesaroundtheworld.ThePowerPalletusesagriculturalorforestrywastematerials. It has a compact design and is portablewhichmakes transport easy. Formoretechnical informationpleasesee the factsheetabout thePowerPallet (Link to fact sheet).

Figure23AllPowerLabgasifier

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Dependingontheoperatingtimeperbatchthegeneratedelectricpowerrangesfrom5-15KW.AverygoodalternativemightbetheHKA10fromSpannerGmbH.Accordingtoprinciplesofcogeneration, the SpannerWood Cogeneration System convertswood chips into biomasselectricityandwarmthwithhighefficiency.Thesystemsarerunbywoodchipsandprovideattractive cost advantages and increased power yields according to location and legalconditions.TheirsystemsarealreadyusedinEurope,AsiaandNorthAmericainagricultureand forestry, hotels, restaurants and heat grids, powered with biomass electricity andwarmth from wood gasifier. The newly developed, compact wood cogeneration systemsHV30-V1.1areverycompact.Besidesheatinsulation,alltheheat-carryingcomponentsarecovered with a resistant coating. A more efficient generator is used for the CHP, whichfurtherincreasestheefficiencyoftheoverallsystem.

The products are electricity, assuming operation hours of 1000 h per year, thewood gasbased CHP can generate 30 MWh of electricity and 73 MWh of thermal energy. Theincreased use of wood chips based on encroacher bush can replace 3000 L of Diesel (10KWh/L)justforthegenerationofelectricity.Allinall,thisprojectisnotdesignedtogenerateprofits. The idea is to promote the idea of generating electricity and heat by gasifyingbiomassfromencroacherbush.Activities&ResponsibilitiesThe activities of this awareness raising and technology transfer project intend todisbursethe knowledge about wood gasification in Namibia. In a first step the project shall bedeveloped togetherwith key stakeholders associated to CCF.An advantage in theprojectdevelopmentwithCCFis,thatmostofsupplychainandnetworkforknowledgetransfer isalreadyestablished.Theinterestintheoperationofthetechnologyandthedistributionofthebasicprinciplesisguaranteedtobelonglasting.An integralpartof thisproject is theawareness raisingmeasure incombinationwithveryspecificbusinessdevelopmentconsultingbasedontheuseofbiomassfromencroacherbushforSMEs.Theseactivitiesshallbeconceptualizedatanearlystageoftheproject.

Figure24Spannerco-generatorandwoodgasifier

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Inthesecondstagethewoodgasifier is installedandoperationaltrainingsaregoingtobeconducted.Oncethesystemisinstalled,CCFwillreachouttoSMEsandcommercialfarmersthroughout the country to invite them toobserve and learn aboutwoodgasification. Thecoursesanddemonstrationoftheplantisexpectedtoreachmorethan1000individualsinthe first year already. For everyone that is interested in the application of the woodgasificationmanualabusinessangelthatsupportspre-feasibilityassessmentisavailable.Figure25Activitiesbioenergyinnovationcenter

TimeframeThemain activities of this project should be implemented during a period of 12months.Whilst themainactivitiessuchas the import, installationandoperationof thegasifierarecarried out during the first months, the activities comprising the Human CapacityDevelopmentmeasure are planned for all subsequentmonths of the year. In fact, theseactivitiesareplannedtoprovidethefoundationsothattheBTDCcancontinuetoworkwiththegasifierafterwards.Afterthetechnologyisinstalledandthecoursesareconceptualizedandpromoted,visitorsandparticipantsoftrainingswillbenefitoftheopportunitytolearnfrom business angels about possible application of wood gasification at their farm for aperiodofup toeightmonths.During the lastmonth theproject responsiblewill dedicatetimeandresourcesforappropriatemultiplicationandupscalingactivities.

Activity Month

1 2 3 4 5 6 7 8 910

11

12

1. Projectdevelopment 2. Purchase,importandInstallationofgasifier 3. Designofcoursesandbusinessdevelopment

supportactivities 4. Promotionofdemonstrationsandcourses 5. Conductingdemonstrationandtestingcourses 6. Businessangelstosupportinterested

stakeholders 7. Impactassessmentandupscaling 8. Conceptualizationoffollowup

Figure26Timeplanbioenergyinnovationcenter

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StakeholdersThe following stakeholder are most relevant for the implementation of the project andenvisionedscalinganddistributionamongstSMEsthroughoutNamibia.Akeyrolebelongstothe CCFwho is administering the Innovation center. In addition, some co-fundingwill beneededfortheprojectimplementation.Renewableenergyinstitutions,academiaandpublicadministrationshouldbeinvolvedasmuchaspossibleduringtheimplementationTable13Stakeholderbioenergyinnovationcenter

Stakeholder ResponsibilityCheetahConservation

FundProjectresponsibleandoperator

SMEsCompete Promoterofthewoodgasificationcourses,reachingouttoSMEs

NamibiaBiomassIndustryGroup

Contributortocoursecontent,promoterofwoodgasificationcourses

NamibiaChamberofCommerceandIndustry

(NCCI)

Promoterofthewoodgasificationcourses,possiblepartnerforprojectimplementation

NamibiaUniversityofScienceandTechnology

Technologicalsupport,inclusionofstudentnetworksandresearch

NamibiaEnergyInstitute Promoterofthewoodgasificationcourses,possiblepartnerforprojectimplementation

RenewableEnergyIndustryAssociationof

Namibia

Promoterofthewoodgasificationcourses,supportinthedesignofcourses

MinistryofEnvironmentandTourism

Promoterofthewoodgasificationcourses

DesertResearchFoundationofNamibia

(DRFN)

Promoterofthewoodgasificationcourses

MarketingapproachCCF’seducationcenterandCheetahMuseumdisplaysaredesignedaroundCCF’sscientificresearchfindingsandprovidedetailedinformationaboutthecheetah:itshistory,physiology,importancewithintheecosystem,conflictwithhumans,andwhatCCFisdoingtoensurethespecies’survivalforfuturegenerations.CCFhasthousandsofvisitorsperyearandisexperiencedinthedesignandimplementationofawarenessraisingactivities.ProjectcostsThisprojectisthemostexpensiveoutofthethreeproposedoptionsasthewoodgasifierhasahighprice.Dependingonthemodel,itspowerandwhetheritincludesco-generationthepricewillliebetween500,000and3,000,000N$.Itisnotpossibleatthismomenttodeterminetheprojectcostsmoreaccurately.Co-fundingwillhavetobemobilizedjointlywiththeprojectpartnersforsuchaninnovativetechnologytransfer.Businessangelswhoareavailablefortheconsultingservicestothecommercialfarmerscouldnotyetbeidentified.

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Table14Costpositionbioenergyinnovationcenter

Costposition Est.costinN$ StakeholderresponsibilityWoodgasifierandCHP 1,200,000 GIZ/CCFandotherdonors

Businessangels(5-10courses) 220,000 GIZ/NUST/REIAN

Projectdevelopment 140,000 GIZ/CCFCapacitydevelopment 140,000 GIZ/MinistryofEducation/NEI/REIAN

Total 1,700,000

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6. ConcludingremarksIntotal,158households,8publicbuildingsand19SMEswereaskedabouttheirdemandfornaturalresourcesandwillingnesstoparticipateinpotentialpilotinitiativesduringthefieldsurvey.Mostoftherelevantstakeholderswereinterviewedandafterextensivereviewofliteraturetheconsultantsgainedacomprehensiveoverviewregardingtheopportunitiesforcookingandproductivesystemsofencroacherbush.Theresultsofthefieldsurveyshowthatfirewoodofanykind isparticularly importantfor lowandmiddle income households. During the stakeholders it became clear that high income householdsmakeuseofwoodandcharcoalfrombiomassofothersourcesthanencroacherbushforbarbequingand,hence,werenotfoundtobeasuitabletargetgroupunderthegivenframeworkconditionsofthisassignment.Lowandmiddleincomehouseholdsthatobtainfirewoodalmostonadailybasisandtosomeextentwithveryhighpricingappeartobethebesttargetgroupforinitiativesthatmakeuseof biomass from encroacher bush. Densified, high energy content biomass, such as briquettes incombinationwith fuel efficient, low emission rocket stoves reduce the fuel consumption bymorethan50%.Anenergyserviceprovidingcompanyoffersaservicepackageconsistingoftheregularlydelivered fuel and the fuel efficient stove to its customers for a given period of time. Due to thehigher combustion efficiency, the cooking in the household will need less natural resources.Householdspaylessthantheydidbeforeandtheprofitmarginfortheenergyserviceprovidercanstillbemaintainedbasedontheservicefees.Thesecondtargetgroupthatwill largelybenefit fromanewcookingtechnologywillbe thepublicbuildings with institutional kitchens, in particular schools, but also SMEs such as barbequerestaurants. A larger model of a side-fed rocket stove is offered in combination with the qualityassured,highenergybriquettesandtheregularfueldeliverybyanenergyserviceprovider.Briquettes are themost suitable formofbiomass fromencroacherbush. Theymaximize transportefficiency, ensure biomass quality and are produced in Namibia, already. Pellets are not yetproduced; wood chips are more suitable for batch-fed cook stoves. In order to not oblige thecustomers to exclusively using the delivered biomass, a side fed cook stove that can also handlecommonlyusedfirewood,willlikelyleadtohigheracceptance.Plainfirewoodfromencroacherbushwillnotresultinlargeoverallefficiencyofthevaluechain.Hence,briquettesarethebestforcookinginhouseholdsandpublicbuildings.Thebestcookingtechnologyforgivenframeworkconditionsareside-fedrocketstoves.Withregardtoproductiveuse,nospecificpilotprojectcouldbeidentifiedtomakeappropriateuseofasmallscalebiomassbasedenergytechnology.Co-generation,woodgasification,centralheatingsystemandhotwaterboilerswereconsideredduringtheassessmentandinterviewswithmanagersof respective enterprises. Demand for off-grid electricity on commercial farms, or hot water intouristiclodgesistoofluctuatingandsporadicinordertojustifytherelativelyhighinitialinvestment.Inmany cases the use of solar andwind technology ismore lucrative, asmaintaining the energygeneratingprocessislesslaborintensive.Nevertheless,gasifyingwoodchipsfromencroacherbushcan be a lucrative value chain. For this purpose, a training program, business angels that visitinterested commercial farmers in combinationwith an education center for biomass technologiesthat demonstrates the opportunities of wood gasification is proposed as a third pilot project.Awarenessraisingandexperimentalhandlingofwoodchipsbasedonencroacherbushisthelevel-headedapproachtoestablishingthisnewtechnologyontheNamibiamarkets.In summary it can be stated, that developing a value chain for cooking and productive systemsbasedonencroacherbushcanbestbeachievedbyintroducingthefuelandcookingtechnologyincombination. The numerous benefits for customer and energy provider make these pilots up-scalableoptionsthatareeasilymultipliedthroughoutmanyotherregionsofthecountry.

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AnnexAnnex1StakeholderInterviews

Stakeholder Status

NEI (Namibia EnergyInstitute)

Up to 150 Energy Shops will be opened n throughout Namibia. Possible distribution of biomass and cook stoves via thischannel.

The Desert Research FoundationofNamibiaDRFN

250KWwoodgasifieralreadyexistsbutdoesnotwork.Themostexpensivethingwithbiomassharvestingisthemachineryandtheir operating cost. Current operation only viable with subsidy. Let us learn from the mistakes made.Emphasis on thechallengeoftransport.“Mistakeswillbemade,otherswillbeblamed”

Namibian RangelandManagement and BushEncroachmentForum

Hugepotential ofbiomass andobligation tode-bush for the sakeof regaining valuable farmland.Nampower service is veryexpensiveandifacheaperpowersourcebasedonbiomassthansolarsystemisavailable,thenfarmerswillbeinclinedtousebiomassbecauseitisreadilyavailableintheirfarms.“Focusonsmallfarmbasedtechnologicalsolutions.”

Ministry of Agriculture,WaterandForestry

Isinterestedinthefindings.“GoandvisittheKapanas”

CheetahConservationFund Idealpartner forbuildingupanbiomass informationcenter.Press,moderncharcoalkilln,harvesting–everything ispresentandmotivatedmanagerislivingandworkingatthesite.Emphasisonthechallengeoftransport.Movingtowardscarbonizingbush-bloks.“Weproduceaheavycommodityinthemiddleofnowhere”

Shackdwellersfederation Might bewilling to support conceptualization of household cook stove energy through their groups saving schemes. ShackDwellersmembersinthesampleregionswillbeidealrespondentstothequestionnaire

Namibia Housing ActionGroup

Mightpotentiallybeabletoreachouttocommunitiesandmoderatetheprocesstowards100householdswithefficientcookstoves.“Whatisbiomass?”

De-bushing advisory service/Agra

Advisory service and information hub for relevant stakeholders active in the efforts of de-bushing.Would recommend topromotebushbasedfirewoodtohighincomehouseholdsforbarbecuemarket.Rathergoforsmallcapacityinstallations(upto150KWorlargescale(startingfrom1MW).“Lowestincomehouseholdscollecteitherthemselvesorbuyinformally"

NamibiaUniversityofScienceand Technology(Faculty ofNatural Resource andAgriculturalScience)

Ecologicalreasoningbehindde-bushingefforts.Anybiomassharvestingshallbedonefollowingcontourlinestoreducerunofduringrain.Invaderbushgrowwellovergrasswhenatmosphericcarbonisincreased.Sustainabilityisthemainissue.“Makesurethatmineralsreturntothesoils,”

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SMECompetitiveness(PTY) Largenetwork toSMEsandprovisionofvaluablecontacts toSMEs tobe interviewedthatmightpotentiallybe interested inreplacingtheirwayofgeneratingenergy.“Namibia has many natural resources. Start making something out of it here in the country instead handing to foreigninterests”

NAM-BiomassIndustryGroup RecentlyfoundedorganizationthatintendstorepresentandcoordinatetheinterestsofthefourlargestwoodchipproducersinNamibia. Negotiate fuel supply agreement. Ohorongo is currently themain consumer ofwood chip. Fishing and canningindustryneedlotsofheat,anargumentforbiomassusage.“OurvisionistobethebiomasshubofNamibiathatguaranteesqualityassuredandstablesupplyofbiomassforenergy”

JumboCharcoal CharcoalproducerthatexportstoFranceandEngland,amongstothers.Innovativeapproachtomarketingcharcoalandotherenergycarriers.Wouldbewillingtocooperateforapilotproject.Biomasstransportcostisveryexpensive“Weareproducingclosetobushbasedbiomassandareinterestedinnewproductionprocesses”

GondwanaCollectionVisittoEtoshaSafariLodge

Ecologicallyawareoperatorofnumerouslodges.Eco-awardsforholisticlodgeenergyconceptwasemphasized.AlreadyrunapelletfurnaceinSwakopmund.Areinterestedinmakingthecasewithbiomassfromencroacherbush.“Wemostlyusesolarthermalenergyandelectricity.Heatingandbushtoelectricitymightbeanoption”

ErindiOldtraderslodge Interestedonlyiftheexpensesforenergycanbereduced.However,everyprojectmustbesoldtotheownerofErindiwhoisintheprocessofsellingErinditoeitherthestateorforeigninvestors.“Uncle(owner)hasaattentionspanof5minutes.Ifyoucan’tselltheprojectinthefirsttwominutes,youaredone”

RockLodge Lodgethatmostlyhostsseminarsandconferences.Outstandingachievementswerepresented.Cuttingtheenergycotstoanhalve, installation of solar panels and vaporization ACs. Displaced 20% of their annual power bills and saving aroundN$100,000.00.Anidealspotforbiomasspilotproject.“Wewouldliketobeselfsufficientintheprovisionofenergyandde-bushourfarm”

WoodCoNorbertLiebich OneofthelargestwoodchipproducersofNamibiawithalongtrackofexperienceinharvesting.ExperiencesinoperationofNiehlsonandShemadapress.Ideaof“WoodPuks”cameupduringmeetings.“WejustneedtofindtheadequatewayadaptedtothechallengesofharvestingtheNamibianBush”

BoschArchitects Interestedbusinessmanthatwouldliketomakeuseofthepotentialofencroacherbushwithadmittedlackofexperienceinthebioenergy sector. Recently founded a energy service company and could imagine to be supporting a efficient cook stoveinitiative.“Wecanimaginetosupporttheeffortsforprovidingabiomassservicepackagetohouseholds"

African Power and Lightingcompany

BeeninvolvedindesigningpowersupplyatRockLodge.HavealotsofpowerdataofusageforthisSME/farmLodge.

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Annex2Questionnaire

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Energy demand assessment_support to de-bushing

General questions to all interview groups

Please indicate the date *

yyyy-mm-dd hh:mm

Name of the interviewer * Please select the municipality

* Erongo

Hardap

Ilkaras

Kavango-East

Kavango-West

Khomas

Kunene

Ohangwena

Omaheke

Omusati

Oshana

Oshikoto

Otjozondjupa

Zambesi

Please provide the name of the village *

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Please select the degree of urbanisation regarding the interviewed household.

Urban

Semi-urban

Rural PLease indicate the type of interview group

Household

Public building

Small and medium-sized enterprise

Tourism

INLUDE: Introduction to the interview, purpose etc. OK

Do you use wood for either heating or cooking?

Yes

No Thank you very much for your time , this interview focusses on the use of firewood and we are only looking at those buildings that actually use it.

OK Are you connected to the electricity grid?

Yes

No Which of the following fuels is available on your local market?

Firewood

Charcoal

Diesel

Kerosene

LPG

Candles

Petroleum lights

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How often do you obtain the fuel(s) you use? Daily Weekly Monthly Yearly N/A

Firewood *

Charcoal *

LPG *

Petroleum *

Diesel *

Candles *

What is the price of the most common fuel in NAD per unit? * What is the price of the second most common fuel in NAD per unit? *

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How much of the following fuels did you use yesterday?

Firewood

Charcoal LPG

Petroleum

* Diesel Candles

*

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How much of the following fuels did you use last month

up to up to up to up to up to >500 N/A 10 50 100 250 500 KG KG KG KG KG KG

Firewood

* Charcoal

* LPG

* Petroleum

* Diesel

* Candles

*

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How much of the following fuels did you use per year? Firewood

* Charcoal

* LPG

* Petroleum

* Diesel

* Candles

*

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up up to up to up to up to > 1 t N/A 50 100 250 500 1 t KG kg KG Kg

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Please prioritise the mose common use per Cooking Heating Lighting N/A fuel

Firewood

* Charcoal

*

LPG

* Petroleum

*

Diesel

* Candles

* Are there seasonal diff erences in your demand for fuels?

* Yes

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No

Which months are the months of highest fuel consumption?

January

Febuary

March

April

May

June

July

August

September

October

November

December

Household

Please indicate the type of building. (do not ask this question) *

Single family house

Multi family house

Flat / apartment

Other specify:

Please indicate the income level of the household (do not ask this question) *

Low

Middle

High

What is the number of people living and taking a meal in your household on a regular basis? *

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» Cooking

Where is your kitchen? *

Outside sheltered

Outside w/o shelter

Inside as part of the living space

Inside in a separated room

How many months per year do you prepare meals on a regular basis? *

How often do you cook per day? *

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On a scale from one to five how much do you like the stove you use for cooking?

1

2

3

4

5

Do you use more than one stove on a daily basis?

* Yes

No

How often do you use the other stove per year? * Is your stove purchased?

* Yes

No

» » » Purchase of stove Who purchases the stove ?

Mother

Father

Grandmother

Grandfather Children

Where do you purchase the stove? *

Option 1

Option 2

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How long does one stove last? * What is the price of the stove? *

Is there a better stove that than the one you cook with already? If yes, name one reason way.

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Besides cooking, what is the stove used for?

Heating

Other Have you heard of any other stoves?

Yes

No Which type of stove have you heard of?

Tsotso

locally made metal stove

Dezman

Charcoal stove

Gasifier stove

Solar cooker

Ezy stove

None *

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Do you have any preferences for this kind of stove?

Tsotso

locally made metal stove

Dezman

Charcoal stove

Gasifier stove

Solar cooker

Ezy stove

None Choose your three most important criteria for a stove: Circle the three that apply Visibility of flame

Control of heat)

Lifespan

Appearance

Fuel consumption

Safety

Portability

Speed of cooking

Reduced exterior heat

Price

Material

Don't know

How do you regulate the heat of the fire?

Wood input

Air flow

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Other

» » Readiness to change the way of cooking Do you think that another technology for cooking could change the expenses for fuels?

Yes

No

Don't know

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If you could choose where to improve the effort associated to heating and cooking in your households, where would you start?

Cook stove that uses less fuel

Heater that uses less fuel

Simplify the access to fuel

Decrease the price of the fuel

» Space heating

How many months do you need to heat your living space? *

How many hours per day do you heat in a typical cold day? *

Which natural resources do you use for space heating? *

Firewood

Charcoal

Diesel

Kerosene

LPG

Candles

Petroleum lights

Electricity

N/A

Electricity consumption per month (KWh) ? *

Please rate on a scale from 1 to 5 how expensive you perceive fuel (5 being most pricy). *

1

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2

3

4

5

Public Buildings

Which purpose does this public building serve? *

Education

Medical treatment

Public administration

Other

For which purpose does this building need energy? *

Electrical appliances

Space heating

Water heating

cooking

Other:

For how many people do you prepare food on a regular day? *

How many people spend most of their labour time in this building? *

Is this building equipped with an institutional kitchen? *

Yes

No

» Cooking_public

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For how many people do you provide a meal in average? *

How many meals do you provide per day? *

How many months per year do you prepare meals on a regular basis? *

In those times, how many days per week do you prepare these meals? *

How much shorter is the time of preparing a meal compared to how long the fire is burning? (in minutes) *

Please name a meal that you cook on a regular basis. *

How long does it take you to prepare this meal in average (in minutes) ? * » Readiness to change_public

Do you think that another technology for cooking and/or heating could change the expenses for fuels?

* Yes

No

Don't know

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If you could choose where to improve the effort associated to heating and cooking in your households, where would you start?

Cook stove that uses less fuel

Heater that uses less fuel

Simplify the access to fuel

Decrease the price of the fuel

N/A » Space heating_public How many months do you need to heat the living space? *

How many hours per day do you heat in a cold day? *

Which natural resources do you use for space heating?

Firewood

Charcoal

Diesel

Kerosene

LPG

Candles

Petroleum lights

Electricity

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*

None

Electricity consumption per month (KWh) ? *

Please rate on a scale from 1 to 5 how expensive you perceive fuel (5 being most pricy). *

1

2

3

4

5 SMU What is the purpose of your enterprise? * What is the purpose of your enterprise?

* Tourism

Agriculture

Production of goods

Food

Small scale manufacturing

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What do you produce? *

Does your production depend on energy derived from fuels? *

Yes

No

How important is a constant availability of energy? *

Not so important

Important

Very important

Obligatory

Which kind of energy do you use for your production process? *

Firewood

LPG

Coal

Diesel

Kerosene

Electricity

Other

Steam

How high is the consumption of electricity per month in average (KWh)? *

How high is the consumption of fuel per month in average (KWh) that is used for the production process only? *

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» Readiness to change_SMU

Which part of the production process has highest demand for energy? *

Does this production step need heat or electricity?

Heat

Electricity If you could choose where to improve the effort associated to the provision of energy for the production process, where would you start?

Cook stove that uses less fuel

Heater that uses less fuel

Simplify the access to fuel

Decrease the price of the fuel

None Do you think that another technology for the generation of energy could change the expenses for fuels?

Yes

No

Don't know Could you imagine to produce the electricity by yourself, off grid?

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