International Consultant for the Development of Integrated and Sustainable Renewable Energy Solutions/Renewable Energy Technology in Lesotho

UNDP is the UN's global development network, advocating for change and connecting countries to knowledge, experience and resources to help people build a better life. It is working with individual countries on their own solutions to global and national development challenges. UNDP Lesotho supports Lesotho’s development priorities laid out in the National Strategic Development Plan and through that, the achievement of the MDGs. The main focus areas of the UNDP Country Programme are Democratic Governance; Environment and Energy; Poverty Reduction and Economic Growth, with Gender Mainstreaming and HIV/AIDS as crosscutting areas. Within the area of Energy and Environment, UNDP provides capacity development and technical assistance to the Government of Lesotho on sustainable development issues, with special focus on energy access, climate change and sustainable land management. UNDP in partnership with the Ministry of Natural Resources is currently implementing the Africa Adaptation Programme focusing on climate change adaptation, and the Lesotho Renewable Energy project, which provides home-based solar energy mainly for lighting to rural households off the grid. Building on the lessons learnt, pilot experience, achievements and identified further needs, UNDP aims to support to the Ministry to develop the next phase of interventions that considers sustainable environmental and economic development in the core of the strategy.

There are currently several projects supported by UNDP Lesotho and by other development partners that lay the ground to the proposed interventions. The Africa Adapatation Programme focuses on climate change adaptation solutions. The Public Private Partnerships for Urban Environment (PPPUE) ensures an integrated response to the development challenges facing Lesotho’s urban areas. It works in joint partnership with the UN Habitat Sustainable Cities Programme with the overall aim to build and strengthen the planning and management capacity of Maseru City Council and its development partners. It seeks to provide a favorable policy environment for the provision of services for the urban environment and enhancing public private partnerships. The Lesotho Renewable Energy - Based Rural Electrification (LREBRE) project is assisting in the areas of conserving natural resources and use of alternative energy source as a means of halting and reversing the degradation of land by enhancing efforts to reduce the dependence on bio-mass fuels, thus contributing to soil conservation; especially through promoting the use of renewable energies at the household and community levels. Another project is the GEF Small Grants programme that protects the natural heritage of Lesotho through empowerment of local grass-root level communities to engage in viable partnerships for undertaking environmental management projects that generate sustainable livelihood benefits and preserve the integrity of ecosystems of global significance. The Sustainable Land Management project that improves biodiversity conservation and food security, and to reduce rural poverty by improving land management practices in the highlands of Lesotho. Furthermore, there are several projects dealing with private sector development and investment climate, which have direct links to the proposed programme.

Barriers that are responsible for impeding the large-scale use of renewable energy-based technologies (RET) are institutional, economic, and commercial and market, technical, informational, educational and training. This is caused by among other issues lack of an effective infrastructure for delivering renewable energy-based energy services on a sustainable basis, fragmented institutional responsibilities and lack of integrated planning and implementation by various stakeholders including government, the research institutions, the academic institutions, the NGOs, community based organisations (CBOs) and the private sector with regard to the applications of renewable energy technologies. In light of these, it important to understand that involvement of community participation in the promotion of RETs is essential. The objective of this consultancy is to help UNDP and the Government of Lesotho to devise an integrated approach for scaling up development interventions that meets the demands of the country as articulated in the National Strategic Development Plan and learnt from ongoing projects, and considers linkages between the key areas of focus for development, particularly: (a) access to energy and energy services; (b) employment generation; (c) improving investment climate to develop the private sector. The ToR is deisgned to engage a consultant who will further develop the concept that offers the right technical solution to the energy needs of rural areas (through renewable energy technology) and provides opportunities for developing this sector in Lesotho, hence, developing the private sector and creating jobs. It is envisaged that the introduction of such technology be implemented through obtaining buy in, stakeholder involvement, networking, participation and sponsorship by government, private sector, community and youth.

Envisioned Programme (Core Concept):
The envisioned programme builds on the development goals identified in the National Strategic Development Plan, considers the lessons learnt and achievements of existing interventions, and upholds the key principles of sustainable development through an integrated approach that maximizes impact on the economic, social and environmental development of Lesotho.

Key development issues that the programme aims to address through an integrated local development (triple-win) solution:

1. Increased energy access: 74% of the population has no access to energy, mostly in rural areas (where 80% of the population lives, with 1% having access to the grid). There are ongoing efforts providing renewable energy solutions for this target group, mostly so far focusing on home-based solar solutions.
2. Access to energy services in district/local areas: Currently energy services are fully centralized. Rural areas have no access to services as they are inhibited by cost and accessibility to take advantage of them.
3. (Green) Employment generation: Unemployment soars at 29% in 2011, and the development plan calls for 50,000 jobs in 5 years. This will require a strengthened private sector with both an investment climate and regulative environment that has the right incentives for business development.
4. Private sector development: Currently, setting up a business is a lengthy and bureaucratic process (despite recent improvements), which creates impediments for business development and investments. In addition, other impediments for private sector development include lack of right skillset, tariffs and other financial disincentives, and lack of financing mechanisms for business investments.

The integrated solution that the proramme aims to provide includes the following elements: 

1. Primary goal: provide access to energy in rural areas using renewable energy solutions :

• Technology solution for energy access: Take stock of existing solutions in Lesotho and best practices in other countries for the key energy need areas of lighting, cooking, industrial needs, and identify the right set of renewable energy solutions for the Lesotho context. Consider the type of renewable energy use (considering solar, wind, water, biogas technology and hybrid solutions); as well as the type of end-user solution (i.e. home-based systems, mini-grids, hybrid solutions, community grids, do-it-yourself installations, charging stations with individual lighting units, unit-based solutions).
• Installation solution: identify the right mechanisms for installations, use of financial incentives/subsidies, balance between private and public involvement (PPP solutions); community mobilization.
• Maintenance and replacement mechanisms: Improve access to energy services in district and local areas through “energy centres”. Support local and financially viable supply chain mechanisms – which at the same time provides employment opportunities in district/local areas.

2. Ensure environmental sustainability:

• Disposal and recycling: set up local channels for disposal of used batteries and other parts. Identify recycling options that could produce a second life-cycle to unused parts.
• Environmental/social feasibility assessments: Conduct feasibility studies for the identified technical solutions. With the aim is to reduce the high dependence on biomass, paraffin and candles for energy in Lesotho, assessment should be made on the impact on the environment and social issues, e.g. burning biomass also contributes to respiratory diseases, which are easily contracted by people living with the HIV.

3. In-country production for in-country consumption:

• Develop and strengthen renewable energy manufacturing sector: Identify impediments and put in incentives to make it financially viable for private sector to invest in this sector. Develop local economy to cater to local demand and through that reduce cost of technology, generate green jobs.
• Develop available skill-sets for in-country production: Analyze tertiary education curricula and build in required skill creation. Develop entrepreneurship training to cater to manufacturing skills in the sector.

4. Develop the private sector:

• Access to finance: support financing institutions, and financing mechanisms for small and medium enterprises to participate in this sector.
• Public-private partnerships: identify potentials for public-private partnerships.
• Financial and other incentives: identify tariff/tax impediments for private sector engagement in the sector; put in place other financial and non-monetary incentives for increased private sector engagement.

SCOPE OF WORK 

Assessment of Lighting Technologies

• Analyze existing technologies in Lesotho and the lessons learnt from their application.
• Analyze existing technologies in comparable countries/settings.
• Provide feasibility and cost-benefit (economic) analysis for the various technologies, considering up-front installations, maintenance, available skillset, manufacturing opportunities, supply chains, etc. Consider the type of renewable energy use (considering solar, wind, water, biogas technology and hybrid solutions); as well as the type of end-user solution (i.e. home-based systems, mini-grids, hybrid solutions, community grids, do-it-yourself installations, charging stations with individual lighting units, unit-based solutions). Consider feasibility for main energy needs, such as lighting, cooking, water pumping, industrial/community needs.
• Provide advice on supporting private enterprises in developing and delivering a wide array of affordable modern lighting products for rural households and businesses building upon the base of lighting technologies that exist today, seeking market solutions to provide an array of affordable products with the quality, applications, cost, and configurations needed by the low income market segment.

Manufacturing of Such Lighting Technology

• Assess the manufacturing capacity and opportunities of such simple rural lighting technologies in Lesotho.
• Assess the employment-generation aspect of building up the manufacturing sector with special attention to youth employment.

Value Chain

• Assess value chain capacities and opportunities for maintenance and replacement for renewable energy technology.
• Assess the employment generation aspect of value chain development, with special attention to youth employment.

Linking existing initiatives

• Advise on how best link existing related initiatives, e.g. the UNIDO cooking stoves programme and the affordable lighting technology as a package to rural communities.

Financial incentives (Removal of Tax and Imports Duty and other Incentives)

• Assist in investigating adequate financial incentives to voluntarily adopt renewable energy technology. Analyze existing impediments and identify best practices.

Market Lead Approach

• Advise how the country can support private enterprises in developing and delivering a wide array of modern renewable energy products for rural households and businesses.
• Analyze existing financing options for MSMEs in the sector, and identify best practices applicable for Lesotho.

Disposal of Batteries and Bulbs

• Provide analysis on existing solutions for waste disposal resulting from old batteries and bulbs and best practices for recycling.

Establishment of Energy Centers

• Advise on the establishment of energy centers in rural communities, their structure, functions, type, business model and management.
• Advise on the role of government toward establishment of energy centers and a lighting technology manufacturing facility
• Advise on how these energy centres could be linked to African Adaptation Programme, Lesotho Renewable Based Electrification Project, UN-Habitat Project, Land Management Project, Small Grant Project, UNV Project, Governance Project

Roles of Regulatory Framework/Institutions and Donor Agencies

• Analyze policy and regulatory framework for renewable energy
• Analyze existing and best practice Public Private Partnership solutions

Stakeholder consultation and engagement

• Identify key stakeholders, facilitate working sessions and engage them in common thinking

Deliverables:

Based on the above scope of work, the following products are expected from the assignment:
Pre-requisite assessments:

1. Technology analysis (as per 1 above).
2. Policy analysis (as per 14 above)
3. Manufacturing and supply-chain climate as opportunities for private sector development and employment generation (as per 2-3 above)

1. A Project Document that is built on the analysis and lays out the strategy and activities forward around the concept and scope of work highlighted above. This should include as a guideline:

• Executive summary 
• Introduction: background; objective; key issues addressed; methodology 
• The Project and its development context: demand and development challenges addressed; immediate and development objectives of the project; main stakeholders; results expected 
• An analysis of the situation with regard to Renewable Energy Technology in Lesotho (as per key findings of assessments) 
• Project concept and design: results framework; monitoring and evaluation systems; risk management
• Implementation arrangements: project management; partnership strategies; sustainability and exit strategy.

• Extensive (at least 7-year)s experience and proven track record with energy efficiency, climate change and/or renewable energy field, policy advice, development and implementation;
• Experience with renewable energy technologies either through management and/or implementation or through consultancies in analysis and evaluation of energy efficiency and/or renewable energy projects;
• Experience with private sector development, Public-private partnerships, financing mechanisms is a plus.
• Demonstrated ability to assess complex situations succinctly distills critical issues, and draw forward-looking conclusions and recommendations;
• Ability and experience to lead multi disciplinary and national teams, and deliver quality reports within the given time;
• Excellent business development, negotiation, analytical, research, presentation and communication skills;
• Extensive experience in developing and implementing strategies, policies, projects and programs;
• Writing and communication will be in English, and must have excellent communication skills in English. The consultant must bring his/her own computing equipment. 

• Masters or Ph.D. degree in environmental/climate change/engineering/economics/development studies or equivalent.