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Timor-Leste Government of Timor-Leste

Rural Energy Policy for Timor-Leste

Final Version

Prepared by:

Detlef Loy
(International Consultant)
Lino Correia
(Local Consultant)

UNDP Country Office of Timor-Leste


in collaboration with
the Secretariate of State for Energy Policy

Finalised: July 2008


2 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Introduction

Timor-Leste is one of the least developed countries in the world. Among other infrastructural
deficits, its supply of modern energy to rural areas is minimal. Within this mainly agrarian
society, most households live on fuelwood use for cooking and rudimentary application of
kerosene or plant oils for lighting. Access to electricity is virtually unknown in large areas of
the country. Isolated grids with diesel generators can only be operated during evening hours,
while the high price for imported oil derivates and the low purchasing power of the
population requires extensive state subsidies. This despite the fact that Timor-Leste itself has
turned into an oil-exporting country since a few years and a significant potential of renewable
energy resources has remained untapped so far.

Improvement of living conditions and the strengthening of income generating activities in


rural areas are fundamental for a stable, harmonious and democratic development in Timor-
Leste. Having this in mind, the UNDP in recent years has supported efforts to expand the use
of different indigenous renewable energies and to introduce more efficient cooking stoves.
Besides implementing a number of pilot projects, it had been agreed with the Government of
Timor-Leste to also assist in the design of a comprehensive Rural Energy Policy.

For such purpose, the UNDP has mandated the consultant Detlef Loy (Berlin/Germany) to
analyse the existing energy situation in rural areas and on the wider national level and
elaborate recommendations for future policy interventions in order to allow for a sustained
rural energy provision, using to a large extent locally available energy sources (see terms of
reference in annex),.

The task was carried out in a period of three months between January and May 2008 and
received additional support by the local consultant Lino Correia. Counterpart to this exercise
was the newly formed Secretariate of State for Energy Policy in the Government of Timor-
Leste. The work consisted initially in collecting and reviewing all available studies and
reports. Parallel to this process, a number of interviews were carried out with Government
officials, representatives of non-governmental and donor institutions, the private and
academic sector, energy suppliers and other relevant stakeholders.

Site visits were organized to pilot projects on biogas generation, solar pv application,
hydropower, energy-efficient cooking stoves as well as to villages with isolated diesel-
powered grids in various provinces of the country. During those visits local administrators as
well as regular users of those technologies have been questioned to get first-hand
information. Several group discussions and advisory sessions covering various aspects of
energy supply for rural areas were held with the staff of the Secretariate.

Two workshops were organized. The first on March 3, 2008 was attended by about 35
participants and included presentations on different activitities in the area of renewable
energy applications, supported by different actors and agencies. The international consultant
outlined the general energy situation in Timor-Leste and highlighted first observations and
recommendations for a future rural energy policy.
3 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

With the invitiation to the second workshop, the draft of the rural energy policy was widely
disseminated for further feedbacks. The workshop on May 17, 2008 concluded the consulting
process by presenting the findings and recommendations for discussion among all interested
parties. To the extent possible, oral and written comments have been reflected in the
following revision process for the final version of the policy paper.

As side-effect of this effort, numerous studies and reports have been collected and reviewed
in order to take advantage of previous experiences. All those documents have been made
available on CD-ROM to the Secretariate as well as to the UNDP office in Dili. Some
relevant work papers that have been elaborated during the consulting process are included in
the annex of this report.

Time for covering such a complex issue as rural energy supply was very short. The
consultants therefore concentrated on such applications and technologies that could directly
affect living conditions by serving mainly cooking, lighting and communication needs of
households and selected institutions. The vast sector of energy for additional income
generation would need a much deeper involvement and could only be scratched at this point.
As higher income is fundamental for the eradication of poverty, it is therefore recommended
to give this issue broader coverage within a subsequent study.

This report contains the rural energy policy as proposed by the consultants. Although
following discussions within UNDP and with the Secretariate of State for Energy Policy, it
does not necessarily reflect the position of these institutions. It is therefore only the basis for
further discussion within the Government and the civil society of Timor-Leste.

Contacts for further information:

Mr. Pradeep K. Sharma


UNDP – Poverty Reduction and Environment Unit
UN House, Caicoli Street
phone +670-331-2481
pradeep.sharma@undp.org

Mr. Avelino Coelho da Silva


Secretary of State for Energy Policy
Palácio do Governo
mobile +670-723-0086
avelinocoelho@cdm.gov.tl

Mr. Detlef Loy


UNDP Consultant
Loy Energy Consulting
Holtzendorffstr. 14
14057 Berlin
phone +49-30-32303467
dloy@loy-energy-consulting.de
4 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Table of Contents

Introduction ............................................................................................................................... 2
Acknowledgement..................................................................................................................... 5
Abbreviations and Acronyms................................................................................................ 6
Rural Energy Policy for Timor-Leste........................................................................................ 7
General Background.............................................................................................................. 7
Guiding Principles................................................................................................................. 9
Status of Rural and Renewable Energy Supply .................................................................. 11
General Objectives and Specific Targets ............................................................................ 14
Solid Biomass Resources .................................................................................................... 15
Biogas Programme .............................................................................................................. 19
Rural Electrification ............................................................................................................ 22
Hydropower......................................................................................................................... 24
Solar Lighting Programme .................................................................................................. 25
Other Renewable Energy Resources ................................................................................... 26
Institutional Setting and Regulation.................................................................................... 28
Improved Data Base ............................................................................................................ 31
Main Tasks and Timeline.................................................................................................... 33
ANNEXES .............................................................................................................................. 35
References and Technical Documents ....................................................................................
World Bank comments to the draft Rural Energy Policy........................................................
List of People and Institutions contacted during the Consultation Process ............................
1. Workshop, 3 March 2008....................................................................................................
2nd Workshop, 17 May 2008 ...................................................................................................
List of existing renewable energy pilot projects .....................................................................
Sucos with preference for Biogas application.........................................................................
Preferences for different RE Technologies for decentral electricity generation on Suco
level .........................................................................................................................................
Solar Electric PV Projects in Timor-Leste..............................................................................
Report on Community Power Plants.......................................................................................
Comparison of Energy-efficient Stoves in Uganda and Timor-Leste.....................................
Projects funded by the Global Environment Facility in the field of Rural Energy and Rural
Electrification ..........................................................................................................................
Terms of Reference .................................................................................................................
5 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Acknowledgement

We would like to thank all those that have contributed to this task with their information,
opinions, suggestions, comments or just by providing for us all the assistance that was
necessary to get a clear overview of the current status of energy uses and requirements in the
rural area of Timor-Leste.

We would specifically take the opportunity to mention kindly all the numerous persons that
we had the privilege to meet during our field excursions and who helped us patiently with
answers and advises to our endless catalogue of questions.

It was a pleasure to share views with the Secretary of State, Mr. Avelino Coelho da Silva, and
his team and we warmly appreciated their interest and enthusiasm in getting this work done
and learning more about all energy-related aspects.

We may also not forget the various experts that we had the fortune to meet in a long list of
institutions, be it from the private sector, the Government, donors, non-governmental groups
etc. They all were extremely kind and helpful, by sharing with us not only time for
discussion, but also by providing material, attending our workshops, giving advise and
reviewing the draft versions of this paper.

Last – but not least – we would like to thank all those we had close contact with in the UNDP
office of Dili for their very kind support and efforts, in all technical as well as logistical
aspects.

Detlef Loy
(international Consultant)

Lino Correia
(local Consultant)
6 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Abbreviations and Acronyms

ASEAN Association of Southeast Asian Nations


ATA Alternative Technology Association
CDM Clean Development Mechanism
CFL Compact Fluorescent Lamp
EDTL Electricidade de Timor Leste
ESMAP Energy Sector Management Assistance Progamme
EU European Union
FAO Food and Agriculture Organization
GEF Global Environment Facility
GoTL Government of Timor Leste
kW kilo-watt
LPG Liquefied Petroleum Gas
MDG Millenium Development Goals
NGO Non-Governmental Organization
REA Rural Energy Agency
TL Timor Leste
UN United Nations
UNDP United Nations Development Programme
7 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Rural Energy Policy for Timor-Leste

General Background

(1) The people of Timor-Leste have expressed their priority interest by stating
in 2002 that “all towns and villages (should have) access to adequate and
appropriate roads, transport, electricity and communications.” (National
Vision for 2020).

(2) The GoTL has responded to this will of the civil society by formulating in
the National Development Plan of 2002, approved by the Parliament in
May 2002, that “the power authority will meet the needs for electricity
throughout East Timor, thus supporting economic productivity and quality
of life for all citizens, and pursue indigenous resources to displace
imported fuels. .... Progress will rest heavily on the ability of the power
authority to reach poorer regions and more distant districts to support
agricultural and industrial development.” It further ruled that national
self-reliance in power generation should be developed by exploiting
indigenous energy resources such as natural gas, solar and hydro. But focal
attention at those early days of the just born nation was placed on the
development in the capital and key population or industry development
areas.

(3) The GoTL is aware that cutting down the proportion of the population
living below US$ 1 per day to 14% by 2015 (indicative MDG target) will
require substantial improvements in energy services that contribute to
income generating activities. Such objective is fully in line with
observations of the UN Commission on Sustainable Development (CSD),
which identified access to energy services as an essential element of
sustainable development. The Commission stated that, “to implement the
goal accepted by the international community to halve the proportion of
people living on less than US$ 1 per day by 2015, access to affordable
energy services is a prerequisite”.

(4) The National Development Plan of 2002 focuses on creating an enabling


environment to generate opportunities for the economic situation of the
poor, which have a higher share in rural than in urban areas. The main
elements are improving productivity in agriculture and the informal sector,
providing an enabling environment for private sector development and
provision of infrastructure. Availability of affordable energy is a key factor
to enhance framework conditions for the eradication of poverty.

(5) The GoTL has also stressed in its first report on the national Millenium
Development Goals of 2004 that “the problem of growing fuel wood
demand for household and small industries use is to be addressed through
substitution of fossil fuels especially in urban areas.”
8 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

(6) In this context and while taking a look at perspectives to achieve the
MDGs by 2015, the GoTL formulated as essential for reaching the target 7
(“Ensure Environmental Sustainability”): “Development of key national
policies, including forestry and sustainable land management, rural
energy policy, and appropriate measures to mitigate illegal logging
activities.”

(7) In its program for the legislation period 2007-2012, the IV. Constitutional
GoTL is putting special emphasis on the power sector and the search for
renewable alternative energies, with the objectives of:

• Reducing the intensity of energy dependence and minimizing the


import flow, through the use of alternative and renewable energy
sources, .....;
• Promoting the multi-purpose hydro-electrical use for the production
of energy in combination with other types of water use;
• Regulating the exploitation of alternative or renewable energy
sources, also contributing for the uniformization and integration of
several projects to be developed in the country in this field;
• Supplying/providing energy to the population living in isolated
areas;
• Assuring the benefit of the country’s energetic richness to future
generation, through the definition and preservation of “obligatory
reserves”, both from renewable sources and from non-renewable
sources.
(8) Although access to energy is not a Millenium Development Goal of its
own, it contributes significantly to most of the MDGs. The GoTL is
certain that - if properly planned and implemented - access to modern
energy services in rural areas will raise new opportunities for income
generating activities, it will increase agricultural productivity, improve
social services in the area of health and education, reduce the work load,
provide the basis for better communication and information and lead to a
better quality of life – thus reducing the pressure and need for migration to
urban centers.

(9) The GoTL recognizes that energy is a means, not an end, to achieving
sustainable development. The mere availability is not enough; to improve
people’s lives, energy supplies must be transformed into tangible energy
services, such as cooking, heating, lighting and motive power.

(10) The GoTL is convinced that the efficient use of indigenous sources of
energy, and in particular those of renewable nature, will contribute to
reducing the import of fossil fuels and their derivates, will help to avoid
negative impacts on the environment and lead overall to a sustainable
development.
9 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Guiding Principles

(11) The activities and measures of the GoTL in the field of national and rural
energy in particular are guided by the following principles:

- all decisions will have regard to views expressed through national


multi-stakeholder dialogues and consultations, giving particular
attention to the involvement of local communities expressing their
needs for energy services, and find commonly agreed solutions;
- to secure affordable and cost-effective energy provision throughout
the country by reducing the dependence from imported fossil fuels,
increasing the share of indigenous energy resources and focussing on
low-cost decentral energy systems;
- to consider that energy supply and use is closely related to gender
issues and therefore place special attention on the involvement of
women in the decision-making process at all levels;
- to respect that access to energy services in rural areas is an integral
part of overall rural, agricultural and forest development;
- to take advantage of renewable, local energy resources, wherever this
is possible from the aspects of availability (potential), energy
demand, technical and social implications, economic feasibility,
ecological harmony and sustainability;
- to always encourage and stimulate the efficient use of all energy
resources, keeping in mind that all types of energy are either scarce
or need significant amounts of capital to be tapped or transposed into
applicable forms of energy use;
- to focus strongly on the improvement of conditions for income
generation through access to modern energy services in rural,
poverty-strikken areas. Such improvements can for example occur by
delivering energy for irrigation to achieve higher harvest yields, by
combining electricity with communication means to facilitate the
better sale of agricultural products or by serving mechanical or
electric energy for food-processing and carpentry;
- to improve general living conditions by providing basic modern
energy services to the private sector as well as to social institutions
(schools, health centers etc.), in particular for lighting and
communication as well as for cooling (the last especially for human
and animal medicines), recognizing the fact that poverty in most
regions of the country has such dimension that substantial subsidies
from the state budget or other sources will be needed for all capital
investments;
- to concentrate all efforts in choosing technologies that by size and
type correspond to the needs, technical background and purchasing
power of the rural population;
10 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

- to strengthen responsibility and decision making on the regional and


local level by taking advantange of the decentralisation process that
is being encouraged in all sectors of state administration;
- to adapt international experiences and technologies to national and
local conditions, taking into account aspects of energy resources
availability, social traditions, economic situations, etc. The GoTL
will in this context particularly put an emphasis on securing that
local actors are closely participating in all stages of project design
and implementation;
- to base its considerations on the general role that despite the heavy
reliance on external state funding, and in order to create ownership
and responsibility, all projects will require the active involvement of
the beneficiaries, be it through labour or financial contribution, and
the long-term commitment of the target groups to maintain the
systems and installations as properly as possible;
- to integrate and strengthen the private sector and institutions of the
civil society as well as educational facilities as widely as possible.
This will allow for an enhancement of the knowledge base, take
advantage of existing routes of know-how transfer and provide
access to local communities. It will also help to establish long-term
market-based approaches that will rest on a country-wide net of
service providers;
- to consider all schemes and mechanisms that facilitate the reduction
of costs for the final users, such as lowering import taxes on all
energy-related products that cannot be manufactured nationally; and
encourage the local production of equipment and components,
wherever this is possible and economically viable;
- to approach international institutions for financial and technical
assistance and to participate in international financing mechanisms
wherever this deems necessary and supportive;
- to draw conclusions and consequences from the experiences and
results of the various renewable energy and energy efficiency pilot
projects in Timor-Leste that have been initiated by NGOs,
international official donor agencies, charities, other institutions or
by different departments of the GoTL itself;

- to promote in first place such technical schemes that are closely


adapted to the needs, financial capacity and understanding of the
rural population and show a high chance for replication;

- to invest only in proven, robust and reliable technologies that are


guaranteed by quality and give the users confidence in security and
safety;

- to take notice of and draw benefit from previous international


experiences in the areas of rural energy development, rural
electrification, renewable energy application and household energy,
11 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

e.g. those implemented with funding from the Global Environment


Facility (GEF).

Status of Rural and Renewable Energy Supply

(12) Timor-Leste has a high proportion of impoverished population and a very


low income level, in particular in the majority of rural areas. Most rural
households live on subsistence farming or have a very low and only
sporadic income. Use of energy for farming is practically unknown,
processing of agricultural products inexistent (with the general exception
of coffee).

(13) Timor-Leste has rich sea-based resources of natural gas and oil, which are
being exploited since 2005 under agreement with Australia. Despite this
fact and advantage, the country has to import all its fossil fuel needs at
world-market prices, mainly in the form of refined or secondary petroleum
products, such as diesel, gasoline, LPG and kerosene.

(14) It is not expected that piped natural gas or raw petroleum will reach the
island before 2020. Near-shore or on-shore resources of gas and petroleum
have not yet been explored. More than 30 gas seeps have been identified
and examined, mainly along the southern shore line. A pilot project to
exploit one of those gas seeps for electricity generation is under
preparation with assistance from the World Bank (near the village
Aliambata in the sub-district Uatu Lari).

(15) A 24-hour electricity supply only exists in Dili and Baucau – although
with a high rate of outages particularly in the evening hours. Installed
meters in both cities have in most cases been bypassed, leading to a
substantial rate of electricity thefts and a low coverage of cost repayment.
But household tariffs of just 0.12 US$/kWh are also far from the current
costs of around 0.40 US$/kWh (for fuel purchase only) 1 . Subsidies from
the state budget for electricity supply in those two cities in 2007 have
reached around US$ 24 million 2 for fuel costs only.

(16) The current electrification rate of rural households outside of Dili and
Baucau is extremely low, with less than 10% being connected to local
grids that serve the population of some 272 aldeias in about 50 sucos (out
of a total of 442 sucos) with power for around 6 hours at night. Only in a
few sucos all aldeias are electrified, not meaning necessarily that all
potential customers are connected to the grid. Based on figures of the
Population Census of 2004 and of connectivity to grid-based electricity
supply, it is estimated that currently (2008) at least 185.000 households
have no access to electricity, except through the use of batteries.

1
Reason for those high prices is the low efficiency of the diesel generators operating in Dili and Baucau, apart
from the high purchase price of diesel fuel.
2
This figure needs to be confirmed. A rough estimation shows the following: If 26.000 households are
effectively connected to the EDTL grid consuming an average of 150 kWh per month, annual costs for diesel
fuel will be in the range of US$ 23.4 million (with overall efficiency of 20%, price of US$ 1 per litre diesel
and energy content of 10 kWh per litre of diesel fuel).
12 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

(17) In past years the extension of electricity to new connections in rural areas
has virtually come to a standstill, due to a lack of human and financial
capacity by EDTL, and the total number of connections is still lower than
at the end of Indonesian occupation in 1999.

(18) The population of Timor Leste will increase to about 1.5 million by 2020 –
up by about 50% against the 1.050.000, estimated for the beginning of
2008 - according to scenarios laid down in the Population Projections
2004-2050, based on the census of 2004. With the average size of
households remaining unchanged with 4.7 persons (as in 2004), the
number of households will therefore grow from about 225.000 at the
beginning of 2008 to 320.000 by 2020. 3 Assuming that the current ratio of
about 80:20 rural to urban population will remain unchanged, about
256.000 households will be located in rural areas in 2020.

(19) Taking into account the above mentioned perspectives for population
growths and based on the assumption that the electrification rate in the
“business as usual” scenario will still not exceed 25% by 2020, about
192.000 mainly rural households (or more than 900.000 persons) would be
without electricity by then.

(20) Most of the power stations that were demolished or replaced during the
turmoils of 1999, have been reestablished and renewed. But due to the
destruction of distribution lines that have so far not fully been rehabilitated
and due to the lack of financial capacity by many rural households, the
connectivity is often far lower than what the generating capacity would
allow for.

(21) The electricity supply of rural Timor-Leste now consists of 58 isolated


grids (11 on district level and 47 on sub-district or suco level), all
equipped with diesel generators, but some not operational, due to lack of
maintenance, fuel or as consequence of vandalism.

(22) Most of the diesel-operated power plants are now under the management
of EDTL, after the operation by communities failed mainly because of
high fuel costs that could not be recovered from the consumers, and
deficits of know-how and finances to maintain the systems.

(23) With electricity tariffs in rural areas being as low as 2.25 US$ per month
for a 2 Ampere connection (universal flat rate), the cost coverage rate
(only related to fuel and regular operation) is in the range of 5%, leading to
an increasing burden for the state budget. 4 Most diesel generators have a
low efficiency, working not at full load during most of the time, partially
due to oversized capacity and a lower number of connections than
originally anticipated.
3
Please note that the number of households is not identical with the number of dwellings, since more than one
family may live in one house (thus the term “household” is synonymous to “family”). The average number of
persons living “under one roof” was 5.7 in 2004.
4
A rough estimation shows the following: With the assumption of 10,000 rural households effectively supplied
with electricity consuming a low average of 40 kWh per month, the annual cost for fuel alone would be in the
range of US$ 2.4 million (with overall efficiency of 20%, US$ 1 per litre of diesel and 10 kWh energy
content per litre of diesel).
13 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

(24) For lighting the rural population relies mainly on kerosene, plant oils and
batteries. Monthly expenditures per rural household for kerosene are in the
range of US$ 5, with additional spending for batteries and candles.

(25) A significant number of small solar power systems have been distributed
as part of an Indonesian programme during the 1990s, and since 2002 with
financial and technical support from different Ministries of Timor Leste
and by various NGOs and charities. Many of those systems show
functional failures with no schemes in place that provided financial and
technical capacities for long-term maintenance and spare-parts. Only
where maintenance funds for repairs and locally available technical
support have been established, such pv systems show long-term
sustainability.

(26) Inadequate distribution infrastructure in remote parts of the country for


diesel fuel and kerosene contributes to prices of those fuels exeeding those
paid in Dili and other urban areas. Also, the market structure for the
petroleum sector in Timor Leste is not adequately competitive and the cost
of energy is therefore higher than in other countries of the region.

(27) The current level of technical and academic training at all levels of
education and in all aspects of the energy sector is poor. Research
institutions are insufficiently equipped to work effectively on country
adapted energy technology solutions;

(28) Directly correlated to the insufficient capacity building in the field of


energy, the expertise related to rural and renewable energy services found
in TL is extremely limited, with the exception of some technicians that e.g.
have received advanced education at foreign institutions or in-house
training within their company (as in the case of solar installations done by
the Dili company Startec).

(29) The GoTL, through its Secretariate for Energy Policy, will spend US$
251,000 in 2008 for research and pilot projects in the fields of biogas
production, solar electric installations, jatropha planting and capacity
building (Alternative Energy Fund).

(30) The GoTL has received foreign financial and technical support (official
development aid) in the past by various donors, such as the Governments
of Japan, Portugal, Norway, UNDP and others for improvements in the
supply of energy (mainly electricity) to rural areas.

(31) The GoTL has ratified the Framework Convention on Climate Change in
October 2006 and is member of the non-annex I countries since January
2007, without obligation for greenhouse gas reductions. Timor-Leste has
further ratified the Kyoto Protocol in March 2008 and is therefore in the
position to apply for funds from the Global Environment Facility and to
participate in the Clean Development Mechanism (CDM), but the
Government has not yet designated a national authority for CDM as this is
requested. The GoTL will present its first communication on climate
change within the UN Framework Convention on Climate Change by
2011.
14 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

General Objectives and Specific Targets

(32) The GoTL is determined to

- provide basic electricity supply 5 to all households and other consumers


in Timor Leste by 2020;
- reduce the average amount of fuel wood used for cooking in private
households by one third by 2020 by introducing fuel substitution and
supporting the use of energy-efficient stoves; and keep the total
amount of fuel wood consumed in Timor Leste by 2020 below the
level of 2004;
- pursue to exploit most of the biogas potential in Timor Leste by 2020.
- substitute all existing rural diesel generators by hydropower by 2013
and thereby cut down excessive operational costs, wherever running
water sources suitable for electricity generation are accessible;
- link all fresh water pumps in rural areas to renewable energy
technologies, if no other low-cost provisions of energy are available
offering the same type of service and comfort;
- continously reduce the subsidy for diesel fuel in the electricity sector
by at least US$ 2 million per annum and increase on an equal basis the
state spending for rural energy access;
- strengthen its efforts on measures that directly contribute to poverty
reduction by providing new or enhanced income generation and allow
for improved health, education, communication and water supply
through the provision of energy services;
- base the future electricity generation for rural areas of Timor Leste
mainly on indigenous renewable energy sources, such as hydropower,
solar energy and organic material (biomass);
- provide the necessary financial means in the shortest time possible to
enhance the technical training on energy subjects in vocational schools
and provide sufficient personnel and logistical capacity for the
implementation of courses, investigation and research in all forms of
modern energy supply at the academic level;
- carefully examine the applicability and suitability of locally grown oil
seeds and fruits (such as Jatropha and coconuts) for the use in small-
sized stationary engines for decentral electricity generation and motive
power and study its impacts on the local economy and on agricultural
structures.

(33) The GoTL acknowledges that the current level of poverty of the majority
of households of Timor Leste does not allow that the access to modern

5
Basic electricity supply is understood here as the minimum provision of lighting service (two lamps) during
evening hours.
15 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

types of energy is fully based on recovery of costs. Already currently the


provision of electricity to rural areas is almost completely relying on cost
coverage from the state budget for the purchase of fuel and repair needs,
due to the minimal income opportunities of the rural population.

(34) The GoTL also recognizes that the acceptance and availability of micro-
credits, contrary to experiences in other countries, is still limited. The low
level of timely repayment of rates for such credits in the recent past have
led to reluctance on the side of microfinancing institutions to provide
credits to customers that depend on highly volatile incomes, as it is the
case in most of the rural areas. The GoTL will therefore provide for
subsidies and funding, always respecting the general rule that part of the
overall costs or work has to be covered by the beneficiaries.

(35) The GoTL is aware that the access to modern forms of energy fulfills a
variety of different goals: it will improve the quality of life in the private
sector, it will serve for higher educational and health standards, it will
reduce the time spent for the collection of fuelwood etc.. But it should also
create new income generating opportunities and help to increase the
productivity in the agricultural sector (e.g. by using solar powered
pumping systems for irrigation during dry seasons).

(36) The GoTL will therefore seek for ways to provide modern energy in
particular for such activities that assist in setting up new or improve
existing production, servicing or manufacturing options, e.g. in the small-
scale food-processing industry, within the commercial and service sector
or the manufacturing of furnitures etc.

(37) The GoTL will provide sufficient and continuous financial resources from
the state budget and international donor institutions for covering
expenditures caused by research, monitoring, promotion, capacity
building, investments, studies etc. in the field of rural energy services.

(38) The GoTL will in particular seek additional financial support for the
provision of rural energy access within the Millenium Challenge
Corporation and within the Global Environment Facility, but also from
multilateral and bilateral development agencies, such as the World Bank
and the Asian Development Bank, as well as from non-governmental
donors.

Solid Biomass Resources

(39) The energy supply of Timor Leste is to a large extent dependent on


biomass resources. It is estimated that more than 90% of all primary
energy input is based on solid biomass, the vast majority in the form of
fuel wood being used for cooking, baking and other heat processes (such
as pottery and brick making). The use of charcoal is not common in Timor
Leste.
16 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

(40) Over 95% of all Timorese households – in rural as well as in urban areas -
use wood as principal cooking fuel. Only a tiny fraction of households
with higher incomes – mainly in Dili – is applying kerosene or bottled
LPG. Due to the high prices of both alternative fuels, which do not receive
state subsidies as in neighbouring Indonesia, some households in the
capital have even returned from modern energy sources to the traditional
way of purchasing and using cheaper fuel wood. 6

(41) Other biomass resources, such as agricultural residues – coconut shells,


rice and coffee husks etc. – make up only a very tiny fraction of the overall
energy supply.

(42) Cooking facilities are overwhelmingly simple (three stones) and very
inefficient, leading to an excessive consumption of fuel wood and a smoky
environment, causing significant health risks by affecting the respiratory
system as well as the eyes, in particular to women and children.

(43) As a preliminary biomass energy study by the World Bank has shown, the
threat of deforestation exists mainly in the closer vicinity (40km) of Dili,
while in other areas of the country the regeneration and extraction rate for
wood is still in balance. But the high population growth could over the
years also lead to depletion of wooden resources in other regions of the
country, in particular in the highly populated zones of Liquiça and Ermera.
Therefore priority action is needed in Dili and the nearer surrounding to i)
provide incentives for replanting of trees and ii) stimulate the
dissemination and implementation of more energy-efficient stoves.

(44) Due to the low price of fuel wood purchased from street vendors in Dili or
along the roads leading into Dili and the zero-cost fuel wood collected by
most people in rural areas, the purchase of manufactured stoves or of
construcion material for home-made installations of stoves will need to be
subsidized. Such subsidies should not be given to the users of stoves, but
to manufacturers and suppliers of material in order to lower their selling
prices.

(45) With an approximation of 1 kg of fuel wood used per person and day for
cooking 7 and the assumption of 40% fuel wood being saved through the
use of improved stoves, some 34,000 tonnes of wood would be saved
annually in Dili and its surrounding area (based on census 2004 data).

(46) So far, community-based initiatives for reforestation and energy wood


plantations are rare. Not more than a few hundred energy-efficient stoves
have been supported by UNDP and some NGO’s, all with mixed results
and sometimes based on inappropriate designs and materials and
technically not taking account of scientific findings and experiences
collected elsewhere.

(47) Fuel wood is also the major energy supply for other applications relying
on process heat, such as baking, brick and ceramic kilns and food

6
During the period of Indonesian occupation, kerosene had been heavily subsidized.
7
see Household Energy Scoping Study
17 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

processing in small-scale rural industries. There are no exact data, how


much energy is consumed in those sectors, but it is estimated that this is
relatively marginal compared to its domestic use.

(48) Also no information exists on the potential of various other solid biomass
resources that could be used directly or in a compressed form (briquettes)
for all kinds of heat purposes in rural areas. A rough estimation suggests
that almost 100.000 tonnes of dry organic material are available annually
from agricultural residues of rice, maize and coffee farming and from
coconut plantations.

(49) Different designs for improved energy-efficient stoves, saving up to 50%


of the fuelwood consumption compared to traditional three-stone-stoves,
are readily available from international projects. Broad experiences exist
in other countries from the installation of fixed kitchen stoves serving two
or more pots as well as for commercially manufactured and traded mobile
stoves for just one pot. Of course, those designs have to be adapted to local
conditions and needs, such as availability of materials and cooking habits
in Timor Leste.

(50) The existing state-imposed forestry policy that requests licenses for cutting
of trees for commercial trading has failed. Currently discussions take
place, how this prohibitive legislative approach could be replaced by a
policy that is based on community participation and interest. Such a policy
would be designed to be enabling rather than enforcing. Thus, it will
provide opportunities for rural communities to improve their own
livelihood and the condition of the forest in their vicinity by removing any
constraints that inhibit them from doing so.

(51) Based on conclusions and recommendations from the Household Scoping


Study and the Biomass Energy Study of the World Bank, and the FAO on
a participatory community forestry policy, the GoTL will, with the
assistance of NGOs and foreign technical expertise,

- provide the right framework conditions that enable strengthening


community participation in all aspects covered by long-term forest
management, allowing for the combination of income generation at
community level with sustainable development of wooden resources;
- in a first step encourage reforestation and plantation activities on the
community level that help to reverse the tendency of deforestation and
soil degradation in the closer vicinity of Dili (district of Dili and Aileu,
and parts of the districts of Liquiça and Ermera);
- extend the reforestation measures to such areas of the country that have
been identified as being threatened by overextraction of wooden
resources, be it for energy or other purposes (such as construction and
furnitures). The GoTL will in particular introduce such measures that
prevent the uncontrolled extraction of wood from state forests,
mangroves and natural reserve areas by handing out titles for the
formation of community owned land dedicated to wood energy
plantations;
18 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

- analyse the potential of existing solid biomass resources from


agricultural residues (such as rice and coffee husks, straw etc.) or
future dedicated energy plantations and investigate options to make
such resources applicable for different energy needs;
- further assess the use of wood and other solid biomass for cooking and
other heat processes (such as baking, brick kilns, ceramics, food
processing etc.) and gather exact data on the consumption and type of
energy sources used for such demands;
- enter in 2008 into the preparation of a long-term programme on
dissemination of energy-efficient stoves (“Improved Stoves
Programme”), starting with efforts that focus on the vicinity of Dili
which is threatened by deforestation and subsequent soil erosion and
seek for international technical and financial support. A total of around
50.000 households would potentially be targeted by such measure. 8
The programme will start with the dissemination of initially 4.000
stoves in 2009 and gradually increase this annual target over time;
- start from 2009 on with stimulating and supporting the design and
dissemination of energy- and cost-efficient stoves that can be installed
with a significant contribution of labour input by the users or can be
bought at reasonable prices from local manufacturers. The GoTL will
for such purpose involve technical staff from academic institutions,
incentivize the training of craftsmen and intermediaries and consider
subsidies for the purchase of manufactured stoves or the procurement
of construction material. For the implementation of the Energy-
Efficient Stoves Programme, the GoTL will in first place support
activities undertaken by NGOs and by the private sector (small-scale
manufacturing industries);
- consider at short notice the introduction of subsidies (over a maximum
period of 5 years) that assist on a wider use of LPG and kerosene 9 by
poor households, in order to reduce the high pressure on wooden
resouces in Dili and neighbouring provinces. Such subsidies are
thought to stimulate the shift from fuel wood use to a cleaner and more
environmental friendly form of energy, and will reduce the smuggling
of cheaper fuel, in particular of kerosene, across the border from
Indonesia. The GoTL will further assist in establishing new LPG
distribution outlets in Dili and other populous regions of Timor Leste,
operated by private sector enterprises;
- explore, with support from NGOs, national academic institutions and
international expertise, potentials and ways for possible briquetting of
solid biomass resources for domestic use and other heat processes;
- encourage and promote the use of biogas for the substitution of fuel
wood as heat source, wherever this is feasible (see next chapter).

8
Calculated on the number of households in the provinces of Dili and Aileu and the subdistricts of Liquiça and
Bazartete (in district Liquiça) and Ermera, Hatolia and Laulaco (in the district Ermera; as taken from the
census 2004).
9
Based on an assumed annual consumption of 4 million litres of kerosene that sell currently at a price of about
1 US$ per litre, a 50% subsidy would result initially in an overall yearly budget of approximately 2 million
US$.
19 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Biogas Programme

(52) The GoTL and foreign donors have started in recent years to promote the
use of animal residues (dung) for the production of biogas, mainly for
cooking and lighting and (in one case so far) for electricity generation.
Complete systems installed with assistance from UNDP cost in the range
of US$ 1,100 per household (10 m³ systems, including paid labour, but
exclusive of shipment), including a two-flame stove, a rice cooker and one
gas light. 10 Biogas will therefore in first place substitute fuelwood for
cooking (which is virtually free of charge for the rural population as it is
collected) as well as kerosene (or other oily fuels and batteries) for
lighting. On the side of the benefits stand out the amount of time saved for
wood collection and cooking and the absence of exposure to smoke.

(53) The production of biogas from animal manure or dung is common practice
and wide-spread in countries such as India, China, Nepal and Vietnam. 11
For the efficient collection of manure it is necessary to hold the cattle in
stables with concrete floors. This contradicts to a large extent the usual
way of cattle and buffalo rearing in Timor-Leste, where grazing in the
open space is common. In keeping up with this tradition, dung needs to be
collected manually. A mixed form of traditional and modern forms of
cattle husbandry achieving better results for feedstock input is the fencing
in of animals overnight. The outflow of the biogas plant is a good fertilizer
and can be used locally for horticulture and crop farming.

(54) Statistics 12 show that the average number of cattle per household in Timor
Leste is essentially low, with only in the districts Bobonaro, Covalima,
Oecusse and Viqueque exceeding one (dairy) cattle per household
(Oecusse has the highest average with 1.6 cattle per household). Even if
buffalos are included (which are not well suited for biogas production due
to their assignation as plodders in the field) the total number does not
exceed three animals on average (District of Viqueque).

(55) But as a more detailed survey by the National Directorate for Statistics
reveals, there are regions in Timor Leste where the figures are well above
the average, notably in the subdistricts of Hatu Udo (district of Ainaro),
Bobonaro, Cailaco, Maliana (all in Bobonaro), Suai (Covalima), Maubara
(Liquiça), Lospalos (Lospalos), Nitibe, Pante Makasar (both in Oecusse)
and Lari (Viqueque). It is estimated that for a household size of 6 to 7
persons and cooking of three meals per day approximately 4 to 5 cattle of
the size common in Timor Leste will be necessary to serve cooking and
basic lighting needs.

10
In Nepal a standard domestic biogas system with a storage tank (biodegester) of 6 m³ costs around US$ 500.
11
In Nepal a total of 172,500 domestic biogas plants had been installed by July 2007. In Vietnam the number of
new installations within the last five years (2003-2007) reached more than 37,000. The goal is to have more
than 140,000 systems installed by 2010 within the current Vietnam Biogas Programme. In China 17 million
biogas installations had been reported by 2005, in India about 3.8 million household-scale biogas plants are in
operation.
12
Government of Timor-Leste, Census Atlas 2004
20 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

(56) Based on data from Nepal and from the census of 2004, the (hypothetical)
potential of daily biogas production from the 134.000 cattle in the country
is in the range of 48,000 m³. But from the distribution of cattle among
households it is estimated that only about one fourth of this potential can
be exploited, thus providing 12,000 m³. With the average consumption of
1 m³ biogas per day for cooking and lighting in a medium-sized
household, about 12,000 households could then be served from biogas, not
taking into account potential other sources of feedstock for the biodigester
(such as solid organic material). Total costs for this number of household
biogas plants would be approximately $ 6 million (only material without
labor and other overhead). The daily saving of fuelwood would be in the
range of 60,000 kg (or US$ 6,000 at current market prices). But estimates
based on sucos with an average of five and more cattle per household give
reason to assume that the actual number of households suitable for biogas
supply could even be far lower (about 4,600 13 ).

(57) Preliminary results from existing biogas plants in Timor Leste and
elsewhere demonstrate that:

- the distribution of gas from larger central biogas plants to individual


households is sensitive and a potential cause for malfunctions due to
leakages, if improper pipe material is being used;
- the number of cattle needed to fully replace fuel wood and kerosene
has often been underestimated, in particular where dung is being
collected from the ground or cattle is only penned overnight;
- equipment and components had to be fully imported, but could most
certainly be partially manufactured in Timor Leste;
- biogas plants need substantial financial support due to relatively high
capital costs, contrasting the general poverty level of households in
rural areas;
- biogas plants need to be seen as integral part of future farming and
animal husbandry and cannot be isolated from questions such as
national targets and state promotion for cattle breeding and human as
well as animal health issues;
- lighting with biogas is highly inefficient in terms of energy use, but
could replace kerosene lamps or oil torches with similar low efficiency
and/or high costs;
- electricity generation from biogas using modified combustion engines
requires substantial technical knowledge and continuous maintenance.

(58) Taking into account the above said, the GoTL will

- assess closely the potential resources for biogas production, focusing


mainly on cattle husbandry by households, larger private farms,
cooperatives and communities, but also taking a look at other

13
Calculation based on those sucos that have an average of 5 or more cattle per household (see annex).
21 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

feedstock potentials, such as agricultural and food processing residues,


manure from poultry and pig farming or other organic waste;
- explore ways to harness distributed organic material suitable for biogas
production by providing appropriate collection and transport systems;
- develop and set up a medium-term programme for the promotion and
dissemination of standardized biogas plants that will prioritize those
areas (sucos) with the highest average number of cattle per household
(such as Cailaco 14 ), or which have other sizable resources for biogas
production available, and will be implemented with support from
NGOs and international experts and donors; preference will be given
to areas, where a cluster of at least 20 to 25 biodigesters can be built in
a row;
- proceed in 2008 with the installation of pilot biogas projects (funded
with support from the Secretariate of State for Energy Policy) in order
to gain further experience related to construction, operation, husbandry
integration and social implications;
- encourage and stimulate through information campaigns, training
measures and seed funding the participation of the private business and
small industry in all fields of the biogas manufacturing, installation and
maintenance sector;
- take advantage of international experience in the field of biogas
digester construction and operation, mainly with reference to best
practice examples in Vietnam, China, India, Nepal 15 and those gained
within the “Biogas for better Life” initiative 16 in Sub-Saharan African
countries.
- further promote and financially support the introduction of small-scale
biogas plants for rural households that own and hold a minimum
number of five cattle. GoTL will give preference to such schemes
which provide for cattle rearing in stables and will use the biogas for
cooking and lighting;
- provide incentives for household operated plants in such a way that
only costs for stoves and lights will be carried by the users at the
beginning of the programme. Beneficiaries will further execute part of
the work load as in-kind contribution. They also have to demonstrate
their capacity and willingness of taking over costs for all maintenance
and repair needed during the time of operation; the share of state
subsidies will be reduced over the course of programme execution;
- encourage banks and microfinance institutions to provide short-term
low-interest loans for users and providers of biogas plants;
- actively promote the formation of larger-scale community (or
cooperative) biogas plants that can serve social facilities, such as
schools and health centers, with cooking gas;

14
See annex for further information.
15
See website of the Biogas Sector Partnership Nepal: www.bspnepal.org.np
16
For further information see: www.biogasafrica.org
22 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

- examine with the assistance of experts in this field, to what extent and
under what conditions biogas plants in Timor Leste can be attached to
sanitation facilities;
- provide scholarships for young professionals to attend training courses
on biogas plant design and construction abroad;
- strive to involve national academic institutions to participate in a
monitoring programme to evaluate and assess the results from the
already installed and future biogas plants and to come up with
proposals for improvements; and provide funding for such activity;
- request academic institutions in the country to set up a research
programme on the design of biogas plants most suited for the
requirements and environment of Timor Leste, and provide financial
support for such activity;

- provide funding only for those biogas plants that have been accepted as
suitable for use under Timorese and local conditions and are
constructed under the guidance of qualified personnel;

Rural Electrification

(59) According to the Rural Electrification Master Plan of 2007 in only 54 (out
of a total 442) sucos all aldeias have been electrified, in a further 65 sucos
more than 50% of the aldeias have received electrification and in another
51 sucos the number of aldeias that have some form of grid-based
electricity is below 50%. In total only 272 (out of 2,228) aldeias in all of
Timor-Leste can be called electrified.

(60) A network survey done in 2007 has clarified that network installations are
existing in 157 sucos. However, a substantial part of these networks are
not in operational conditions, and electricity supply to the population in
these areas are presently not functioning.

(61) All of the electrified aldeias in rural areas (outside of Dili and Baucau) are
connected to various isolated grids served by stationary diesel engines of
different sizes. The majority of those grids is operated under the
management of EDTL.

(62) The low level of electricity consumption (normally only for lighting) and
their dispersed locations will leave a major number of households
unattractive for supply from any electric grid. It is estimated that this could
apply for about 90,000 households in 2020.

(63) Most of the electricity demands of rural households are extremely small,
not exceeding 25 kWh per month. At the same time, many dwelling are
dispersed in the countryside, which make electricity supply by a central or
local grid economically unattractive.
23 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

(64) The GoTL will

- base its considerations and decisions for expansion of electricity


supply in rural areas on the results of the Rural Electrification Master
Plan of 2007;

- give preference to such electrification projects which are fully


supported by the community and pay equal attention to quality of life
improvements at domestic level as well as to provision of electricity
for income generation and social infrastructure;

- design and propose to the parliament a multi-year rural electrification


plan that will determine priority zones for central grid connection
and off-grid electricity supply, define locally available renewable
energy and gas seep sources suitable for electricity generation and set
the framework for community-led electrification schemes;

- realize with World Bank support the installation of a decentral power


station using the gas seep at Aliambata with connection to the
existing electricity grid of Uatulari and extend this technology to
other sites with sufficient gas potential. This project had already
received priority in the Power Sector Investment Plan of 2005;

- further assess the potential of identified gas seep sites for decentral
electricity generation;

- develop rules for the provision of subsidies for rural electrificaion


projects that will not exceed 80% of total costs, including in-kind
contributions of labour by the beneficiaries;

- assist rural communities in setting up viable schemes for the


collection of fees and tariffs that allow for a sustainable and long-
term operation of electricity plans and networks, without further
requirements for intervention from the state budget;

- cooperate with Timor Telecom in order to substitute diesel-based


electricity supply of communication transmitters in rural areas by
renewable energy sources (mainly solar electricity);

- apply for membership and actively participate in the international


Global Energy Village Programme 17 ;

- seek contact and get into partnership with the Alliance for Rural
Electrification, formed by European renewable energy industry
associations, based in Brussels. 18

17
see www.gvepinternational.org
18
see www.ruralelec.org
24 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Hydropower

(65) Timor-Leste is endowed with a large number of potential sites for


decentral hydropower generation, in particular in its Western and more
mountainous part. Hydropower plants with capacities of a few Kilowatt to
some MW can serve for the electricity supply of individual small
consumers up to isolated grids for whole communities.

(66) In recent years, the GoTL and EDTL have studied options for using
hydropower at various locations with support of the Norwegian
Government. Timor-Leste has potential for one large (Iralalaro, with
between 13 and 28MW and 189 GWh per year) and several small and very
small hydropower facilities. For Iralalaro, after approval of the already
completed environmental impact assessment, tender documents for the
hydropower plant construction and a transmission line to Dili will be
worked out and the tender process will be assisted by international experts.

(67) A first plant of 326 kW maximum capacity is currently under construction


(Gariuai), with inauguration expected for September 2008. For another
three projects in the Western part of Timor-Leste (Atsabe, Bobonaro and
Maliana), river flow measurements have been carried out for more than a
year. For Atsabe chances are good to get Norwegian funding, with work
starting in 2008 or 2009.

(68) The GoTL will

- proceed with the implementation of the recommendations of the


Rural Electrification Master Plan regarding the use of hydropower,
wherever this is economically and ecologically advisable;

- place priority on such projects that allow for substitution of diesel-


powered electricity generation by local hydropower and on projects
using hydropower with turbines at very small scale and low cost
(pico hydropower);

- within the institutional agreement between Timor-Leste and Norway


and together with EDTL start into preparing the tender documents
for the construction of the hydroelectric plant of Iralalaro, if the
environment impact assessment shows no negative and irreversible
effects on flora and fauna. It will also enter into the preparations for
the transmission line from the hydro plant site along the northern
coastline to Dili;

- proceed with the design and tendering process of the mini


hydropower plant Maununo (district Ainaro) and realize construction
in 2008/2009, with financial assistance already secured from UNDP;

- support the elaboration of a Hydropower Master Plan and a Power


System Master Plan for Timor-Leste, that will be carried out starting
in August 2008, with support of the Norwegian Government.
25 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Solar Lighting Programme

(69) The existing daily solar resources (irradiation energy) are in the range of 5
to 6 kW per m², with the lower value applying to most of the mountain
areas and the higher values to the lowlands and coastal regions.

(70) Solarelectric systems are especially attractive for small loads and remote
consumption points. The systems can have variable sizes and are (in case
of off-grid supply) attached to a storage system (battery).

(71) Timor-Leste has experience with different types of solarelectric systems,


reaching from very small mobile lanterns with stationary solar modules
(10W) to household systems (30 to 50W), community center installations
for TV and DVD (100W), health center supply (about 400W) and solar
powered pumps (2 to 3 kW).

(72) The expected low consumption profile and the low electricity demand
density in vast regions of the country will leave a significant number of
households unattended by any national or local grid within the next 15 to
20 years.

(73) For about one third of all households (i.e. about 60.000 based on census
2004), solar electricity will be the only choice for basic electrical services,
notably for lighting. The absolute number of households will increase by
more than 50% until 2020 due to population growth.

(74) The GoTL will

- carefully assess the results of the institutional settings and technical


performance of previous solar electricity projects;
- start a multi-year Solar Lighting Programme (SLP) in 2009 that will
equip all households unattended by other forms of electricity supply
with lighting systems based on solarelectric power;
- establish for the SLP a funding and promotion scheme that will offer
fully subsidized solarelectric systems for basic electricity supply to
all households that have send a request through their community
administration. Systems will include a 10W module, charge
controller, battery, cables, switches and other necessary equipment at
a cost of about US$200 each. Cost for lamps (or the equivalent of at
least 20% of total initial investment costs) should be carried by the
beneficiaries;
- in particular cases allow that communities opt for central battery
charging units supplied by solar electricity or provide mobile
lanterns at similar costs and performance. Such schemes could be the
starting point for business operations by renting out solar lanterns
and offering services for battery and mobile phone charging;
26 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

- generally accept if households opt for larger systems at their own


expense, while the subsidy will always be based on the general
standard system;
- follow a step-wise expansion of the SLP, giving first priority to areas
with a high potential density of solarelectric systems (clustering), to
allow for the development of sustainable market structures;
- organize bundled tendering procedures with minimum standard
requirements to purchase high quality systems at the lowest price
possible;
- handle all dissemination and installation procedures with assistance
of the private sector or non-governmental organizations;
- explore options – with support of external assistance – for the
manufacturing or assembling of solar lanterns and other solarelectric
components in Timor Leste, as demonstrated with good example in
other countries 19 ;
- request communities to set up institutional schemes that allow for
monthly payments by the households into individual accounts,
dedicated to cover expenses for maintenance and spare-parts (in
particular battery replacement). Minimum monthly payment should
be in the range of US$ 2-3;
- promote the use of micro-finance mechanisms for short-term loans
on the community level;
- develop the SLP strongly with support of the private sector and offer
incentives for establishing retail stores and service centers close to
future markets;
- provide training on solarelectric installations at community level and
use the existing installations at suco centers for such purpose;
- equip all newly constructed or rehabilitated schools and health
centers as well as suco centers with solarelectric systems that may
serve for lighting, communication and refrigeration (in particular for
vaccines and other medicines), unless those buildings have grid-
connected electricity available or within close reach, which is already
generated through use of renewable energy;
- advice foreign non-governmental donors and charities to concentrate
their engagement in the area of solar electricity to such rural zones
and for such purpose as has been prioritized within Government
programmes.

Other Renewable Energy Resources

(75) Solar thermal energy systems for hot water service have been put in place
in some hotels, on army compounds and at a number of other localities.

19
see www.solar-aid.org; www.solux.org; www.barefootcollege.org; www.ashdenawards.org/winners/nest;
www.light.lbl.gov/library/UIUC_JITM_Mondialogo.pdf
27 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

But the deployment of solar collectors in Timor Leste is still at an infant


stage and knowledge about their use and function is not widespread.

(76) Wind energy resources in Timor Leste have not been tapped so far, with
exception of a small wind battery charger set up by the NGO Alternative
Technology Association (ATA) from Australia in Lequidoe. The potential
for electricity generation or water pumping from wind power is practically
unknown. ATA has set up a first wind data logging system on the island of
Ataúro in 2007.

(77) In neighbouring Indonesia (West-Timor) a wind atlas was elaborated in


1997 by the National Renewable Energy Laboratory (NREL) of the US
Department of Energy, showing that favourable medium speeds above 5
meters per second occur mainly at higher altitudes. More site specific
measurements at locations in West-Timor were conducted with support
from the Dutch Government starting in 2004. Wind measurements took
place at Oelbubuk in the sub-district Soe, which showed excellent results
for a wind farm. Other measurement in West-Timor took place at two
locations near Kupang and at a location near the town Atambua. Also the
Spanish company Soluciona Consultoria set up measurement devices in
the region on sites at Sidrap, Baron and Selayar (Indonesia) for long-term
logging of wind data at the end of 2005. This task was conducted within a
project co-financed by the EU-ASEAN Energy Facility. It is reported that
a wind farm of 1.5MW was due to be erected in the province of Nusa
Tenggara Timur in 2007, but the current status of this project is unknown.
Several small-scale wind generators of 80 kW each have been installed on
a number of Indonesian islands lately.

(78) Preliminary assessments indicate that sufficient average wind speeds occur
predominantly at higher altitudes of the island, i.e. in the mountain areas.
It is obvious that those regions will be hard to approach for large-scale
wind turbines (600 kW and above), given the current road conditions and
the accessability to medium-voltage transmission lines. But smaller wind
turbines (50 – 100 kW) which can be self-erected without using a crane,
could be suitable for such sites. Very small decentral wind battery chargers
on the other hand have substantial specific investment costs and need
proper and continuous maintenance. Some potential could exist for water
pumping systems, where the intermittent nature of wind is normally not a
major concern.

(79) A wind measurement campaign is about to be launched with financial


support of the Energy Sector Management Assistance Program (ESMAP)
of the World Bank.

(80) Homegrown and locally available plant oils can be an additional source of
energy. The GoTL (Secretariate of Energy Policy) has entered into pilot
planting of Jatropha seeds in different communities; another source are
Castor Beans that are invasive plants and widespread in Timor-Leste, as
well as oil from coconuts. Most of the oils have the advantage that they
can be fed unprocessed into modified diesel engines (no transesterification
into biodiesel needed).
28 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

(81) The GoTL will

- enter into an assessment and prefeasibility programme for the


identification of potential sites for wind power; and use for such
purpose existing meteorogical data and results from wind
measurements in the region, and collaborate with the ESMAP-
financed wind measurement campaign;

- examine to what extent and under what conditions small-scale wind


generators could be attached to existing diesel generator to allow for
fuel saving;

- assess the suitability of very small scale wind battery chargers for the
supply of electricity to a limited number of households or individual
customers;

- assure that any approach to the use of windpower will be based on


standardized designs and turbine types;

- investigate options for using wind-driven water pumps for irrigation,


drainage and fresh-water supply;

- gain experience and know-how in planting of Jatropha seeds and


local extraction of oil; it will give preference to such projects that use
natural (raw) plant oil for motive power and electricity generation (as
e.g. in so-called Multifunctional Platforms 20 ), and will start pilot
projects in this area, taking advantage of international experience;

- explore potentials and options for use of other indigenous oil plants
as fuel source, such as castor beans and coconuts;

- gain first experience with foreign support and involvement of


national academic institutions in setting up and operating small-scale
decentral transesterification plants for the production of biodiesel at
community level;

- promote the use of solarthermal collectors for hot water generation in


particular for hotels and restaurants that receive piped fresh water or
are using roof-top water tanks.

Institutional Setting and Regulation

(82) The GoTL will refrain, with the exception of selected pilot measures, from
the day-to-day implementation of renewable/rural energy systems. It will
instead concentrate on setting the right framework conditions and
guidelines that encourage the private sector, NGOs, social institutions,
communities, individuals and other stakeholders from taking active part in
the deployment of renewable/rural energy technologies. It will further

20
See UNDP project experiences in Mali and other African countries.
29 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

establish long-term programmes, set achievable targets, raise general


awareness among the population, and monitor and promote the results of
its achievements.

(83) The GoTL will therefore

- transfer responsibility to the Secretariate of State for Energy Policy for


establishing off-grid rural electrification programmes on the national
level which are based on locally available renewable energy resources,
setting the right framework conditions for participation of the private
sector, supervising programme implementation and monitoring their
progress and performance. Responsibility will also cover non-
interconnected isolated village grids;

- establish at the beginning of 2009 a Rural Energy Agency (REA) as a


public institution with administrative, managerial, technical and
financial autonomy to channel Government and donor grants and
technical assistance to the private sector, NGOs and rural communities
for the implementation of projects that provide access to modern and
efficient energy services in rural areas;

- give the Secretariate of State for Energy Policy the responsibility for
supervision of the REA;

- mandate the REA to execute in first place community-led projects


within multi-year programmes set up by the GoTL which pursue to
provide electricity for domestic, industrial, commercial, institutional
and other purposes, lead to biogas production and its use, and
contribute to the sustainable supply and application of solid and liquid
biomass resources for heat, electricity and motive power;

- give the REA the assignment to act as regulatory authority for all off-
grid (“non-EDTL”) electricity supply initiatives by communities,
individuals and the private sector outside of district capitals. Such
authority will not affect individual supplies or very small local grids
that serve not more than 10 customers;

- equip such REA with sufficient funding according to annual targets


and subsidy levels set by the Government and give REA effective and
autonomous control of its budget; the REA will have to report annually
to GoTL about the spending of the budget and about its performance
achievements;

- consider for such purpose the creation of a Renewable Energy Fund,


fed from the state budget and through international donations.

- keep the operational costs for REA as low as possible by allowing


overall costs for staff, office, transport etc. not to exceed 15% of the
budget spent for investments (including project designs and feasibility
studies);
30 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

- request from the REA that all major investments for individual projects
will only be approved after careful examination of the financial and
technical viability in comparison to alternative solutions, and after
getting guarantees by the community that sufficient and continuous
fees/tariffs will be raised from the consumers to allow for long-term
operation without further subsidies from the state budget;

- transfer full responsibility to REA for carrying out all major rural
energy programmes that have substantial impact on providing
improved energy services to a large number of households or other
energy consumers. The GoTL may also decide from case to case to
mandate REA with the implementation of capacity building and
training activities or the execution and monitoring of pilot projects.

- Ascertain that the mandate of the REA reflects the important role of
NGOs and none-ODA financing contributions.

(84) The GoTL will propose to the parliament to further improve and
strengthen the regulation of the energy sector by amending the Decreto-
Lei No. 13/2003, in order to remove any unnecessary barriers that prevent
the supply of energy to rural areas. It will in particular pursue to specify
responsibilites and create the fundament for an enabling environment that
allows new actors to participate actively in the process of providing energy
services. Focus will be given on strengthening community involvement
and supporting market-based approaches. But the GoTL is also
recommending to refrain from over-regulating the sector by the creation of
bureaucratic structures that would impede the speedy development of the
sector.

(85) The GoTL will provide sufficient funding from the state budget to achieve
the Government objectives on rural electrification, installation of biogas
plants, dissemination of energy-efficient stoves, development of
hydropower etc. and establish funds for research and monitoring of
adequate programmes. It will further harmonize donor activities and seek
for international financial and technical support.

(86) The GoTL is concerned about the long-term sustainability (life time) of
energy service technologies. To secure that customers will have access to
high quality products, the GoTL will therefore set minimum performance
and quality standards within all programmes and projects that receive state
subsidy. It will further introduce mechanisms that those quality standards
will apply to all energy-related products being imported into the country or
manufactured locally.

(87) The GoTL will propose legislation to the parliament that allows
communities to tap hydropower sources for electricity generation and
supply within its boundaries, unless competing water uses or harmful
impacts on the environment prevent such intention. It will further draft
legislation that gives all interested parties the right to set up and operate
power generation and distribution facilities which are using locally
31 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

available renewable energy resources up to a generation capacity of 300


kW, without intervention of EDTL.

(88) The GoTL is convinced that uniform electricity tariffs that are valid
throughout the country have not proven successful in the past, as they do
not reflect local differences of purchasing power of the population and the
quality and reliability of energy services, and have not been capable of
raising sufficient revenues that would lead to increased cost coverage
rates. The GoTL will therefore allow that communities with isolated
electricity grids operated by renewable energy will determine their own
tariff rates, based on the principle that operational long-term costs must be
recovered.

(89) Given the scarce nature of energy resources, efficiency and demand side
management measures should be implemented as part of all energy
planning and management.

(90) Recognizing that most of the electricity spent in rural areas serves for
lighting purposes and reminding that all types of electricity supply to rural
as well as urban areas will always be connected to high specific costs, it is
essential and natural that electricity should be used as efficiently as
possible. The GoTL will therefore take steps to prohibit or reduce the
importation of incandescant light bulbs, which can easily be substituted by
far more energy-efficient compact fluorescent lamps (CFLs) at only
slightly higher capital costs.

(91) The GoTL will further take action in the course of 2008 that equipment
and components that contribute to the efficient use of energy or serve for
the exploitation of renewable energy resources will be exempted from all
duties and taxes, starting in 2009.

Improved Data Base

(92) For all future energy planning, a reliable and detailed data base is
fundamental, covering all aspects of energy generation and consumption,
potential energy resources, costs, energy use of different sectors etc. The
current data availabality is fragmentary, often inconsistent and not in line
with international standards and requirements.

(93) The energy needs in rural areas beyond the household sector, that means in
first place for productive purposes (such as in grain milling, drying of
crops and fruits, food processing and cooling, craft activities etc.),
commercial activities and communication, social institutions and for fresh
water supply, are basically unknown. As energy service for those sectors
can contribute to income generation or improve the situation in health,
trade and education, an assessment of current and future needs for energy
services, taking into account regional and geographical differences, is of
fundamental importance.
32 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

(94) The GoTL will therefore

- in collaboration with the National Directorate for Statistics, EDTL


and the private sector improve the collection and verification of all
data with relevance to the energy sector and elaborate a first annual
energy balance for 2007 by the end of 2008; such energy balances
will be elaborated in the shortest time possible after conclusion of the
calendar year and made public annually;

- assess in collaboration of different Ministries, NGOs and other


institutions, current and future energy needs for income generating
activities, education, communication and health in different regions
of the country. Focus will be concentrated on areas of Timor Leste,
that have been neglected by development and show low level of
progress in essential sectors. The energy needs will be quantified as
well as prioritized and ways of supply coverage proposed.
33 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

Main Tasks and Timeline

No. Task Responsible Timeframe


General
1 Improve the data base for all types and SESP Until end of 2008
sectors of energy production and with National Directorate for
consumption Statistics, EDTL
2 Prepare the set-up of the Rural Energy SESP Until end of 2008
Agency
3 Introduction of Renewable Energy Fund SESP, Ministry of Finance 2009
4 Analysis and steps for energy-efficiency SESP 2008
measures (in particular minimizing use of
incandescant light bulbs)
5 Introduction of duty and tax exemptions for Ministry of Finance, SESP Start in 2009
equipment and components for energy-
efficiency and use of Renewable Energy
Biomass / Energy-efficient stoves
3 Biomass Resources Study SESP In 2009
4 Introduction of forest management and Ministry of Agriculture
wood energy plantations
5 Study on use of solid biomasses for process SESP, Ministry of Agriculture In 2009
heat
6 Preparation for long-term energy-efficient SESP with World Bank and Start in 2008; first
stoves programme NGOs dissemination in
2009
7 Incentives for use of kerosene and LPG for SESP with Ministry of 2009-2013
cooking Finance and Ministry of
Infrastructure
8 Investigations on on briquetting of solid SESP, Ministry of Agriculture, In 2009
biomass resources academic institutions
Biogas
9 Assessment on potential resources for SESP, Ministry of Agriculture In 2009
biogas production
10 Programme for promotion and SESP, Ministry of Agriculture Preparation in 2008
dissemination of standardized biogas plants
11 Installation of pilot biogas plants SESP 2008/2009
12 Investigation on connection of biogas plants SESP 2009
to sanitation facilities
13 Training of biogas professionals SESP 2008/2009
14 Start of monitoring programme on biogas SESP with academic 2008
plant results institutions
15 Strengthening of research and training in SESP and academic Start in 2009
biogas plant design, construction and institutions
operation
Rural Electrification / General
16 Design of multi-year rural electrification SESP with Ministry of 2009
34 Rural Energy Policy for Timor-Leste (Proposal) – Final Version, July 2008

No. Task Responsible Timeframe


plan Infrastructure and EDTL
17 Realisation of gas seep projekt at Aliambata Ministry of Infrastructure with 2009
EDTL and World Bank
18 Assessment of gas seep potentials Ministry of Natural Resources, 2009
Ministry of Infrastructure,
SESP
19 Substitution of diesel-based electricity Timor Telekom with SESP Start in 2009
supply for communication transmitters and Ministry of State
Administration
20 Amendments of electricity act to allow for SESP, Ministry of 2008
private-sector and community participation Infrastructure
Hydropower
21 Preparations and construction for mini SESP with UNDP Start in 2008
hydropower plant Maununo
22 Start tender process for Iralalaro and .Ministry of Infrastructure 2008
transmission line with EDTL and NVE
23 Start tender process for small-scale SESP with Ministry of 2009
hydropower in Atsabe, Bobonaro and Infrastructure and EDTL, with
Maliana NVE support
Solar Lighting Programme
Assessment of institutional settings and SESP 2008
technical performance of existing solar
electricity projects
Design and execution of multi-year Solar SESP Start in 2009
Lighting programme for off-grid
households
Exploration of options for national SESP 2008
manufacturing of solar lanterns and other
solarelectric components
Equipment of new and rehabilitated public SESP with relevant ministries Start in 2009
buildings with solar pv plants
Other Renewable Energy Resources
Assessment and prefeasibility of potential SESP with World Bank Start in 2008
wind power sites
Study on feasibility of small-scale wind SESP In 2009
generators
Study on use of wind-driven water pumps SESP In 2009
Pilot projects for Jatropha plantation and SESP with Ministry of Start in 2008
plant oil use Agriculture
Promotion of solar thermal collectors SESP In 2009
ANNEXES
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

References and Technical Documents


Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Most of the references have been received as soft copies (files) and have been made available to the Secretariate
of State for Energy Policy Timor Leste.

1. References directly related to Timor-Leste


ADB 2001 Asian Development Bank, Technical Assistance to East Timor for Preparing the Power
Sector Development Plan – Phase 1, October 2001
ADB 2002 Asian Development Bank, Fifth Progress Report on Timor-Leste, 2002
ADB 2003a Asian Development Bank, Government of East Timor: Proposed Technical Assistance for
the Preparation of Foho Bagarkoholau Wind Farm Project, September 2003 (prepared by
Electrowatt-EKONO in association with SKM)
ADB 2003b Asian Development Bank, Government of East Timor: Power Sector Development Plan for
East Timor, September 2003 (elaborated by Electrowatt-EKONO in association with SKM)
Volume I: Overview of Power Sector (September 2003); Electronic Version, September
2004
ADB 2003c Asian Development Bank, Sixth Progress Report on Timor-Leste, June 2003
ADB 2003d Asian Development Bank, Seventh Progress Report on Timor-Leste, December 2003
ADB 2004a Asian Development Bank, Timor-Leste – Eighth Progress Report, May 2004
ADB 2005a Asian Development Bank, Timor-Leste - Ninth Progress Report, April 2005
ADB 2005b Asian Development Bank, Technical Assistance Completion Report – Power Sector
Development Plan, 2005
ADB 2005c Asian Development Bank, Timor-Leste – Country Gender Assessment, November 2005
ADB 2005d Asian Development Bank, Country Strategy and Programme Update 2006-2008, Timor-
Leste, September 2005
ADB 2005e Asian Development Bank and World Bank: Trust for East Timor (TFET) – Report of the
Trustee and Proposed Work Programme for May 2005 – April 2006, April 16, 2005
ADB 2007 Asian Development Outlook 2007, Democratic Republic of Timor-Leste
ATA 2004 Alternative Technology Association, Report on the East Timor Solar Lighting Project
(Aileu), August 2004
ATA 2005 Alternative Technology Association, East Timor Solar Power Project, September 2005
ATA 2006 Alternative Technology Association, East Timor Solar Power Project, October 2006
ATA 2007a Alternative Technology Association, Village Lighting Scheme (Aileu), Status Report:
Phase 1 – Consultation and Trials, 2007
ATA 2007b Alternative Technology Association, Switching on Timor – 2007 East Timor Renewable
Energy Projects, September-November 2007
BON 2007 M. Bond et.al.: A policy proposal for the introduction of solar home systems in East Timor,
in: Energy Policy 35 (2007)
CLO 2004 Jonathan Clouston: Coconut Oil as Fuel in Timor Leste – Viability of Coconut Oil as a
Diesel Fuel Extender, September 2004
FAO 2007a Don Gilmour (FAO and Democratic Republic of Timor-Leste): Participatory Forestry in
Timor-Leste: Discussion of Issues and Options, December 2007
FAO 2007b FAO and Government of Timor-Leste: Community forestry policy for Timor-Leste, draft,
December 2007
FAR 2007 Field Assessment Report on “Urgent Rehabilitation Plan in Timor-Leste” (13 gensets
donated by JICA), July 2007
GoTL 2002 Government of Timor-Leste: Electricity Sector Policy Paper, September 2002
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

GoTL 2004a Government of Timor-Leste/UNDP: Participatory Rural Energy Development Programme


in Timor-Leste, October 2004
GoTL 2004b República Democratica de Timor-Leste and United Nations Country Team: Timor-Leste –
Millenium Development Goals Report, February 2004
GoTL 2005a Government of Timor-Leste: Natural Resources and Environment Sector Investment
Program, November 2005
GoTL 2005b Government of Timor-Leste: Millenium Development Goals – Where are we now?, 2005
GoTL 2006a Government of Timor-Leste: Sector Investment Program, Natural Resources and
Environment – Project Information Sheets, April 2006
GoTL 2006b Government of Timor-Leste, Private Sector Development – Sector Investment Program,
April 2006
GoTL 2006c Government of Timor-Leste, Sector Investment Program for the Power Sector, April 2006
GoTL 2006d Government of the Democratic Republic of Timor-Leste/United Nations Development
Programme: Promoting Access to Energy Services in Rural Areas of Timor-Leste and
Formulation of National Rural Energy Development Policy, Project outline, September
2006
GoTL 2006e Government of Timor-Leste, Sector Investment Program for the Power Sector – Project
Information Sheets, April 2006
GoTL 2007a Gabinete do Secretário de Estado da Política Energética: SE da Politica Energética,
Programa SASE, Minuta para Discussão, 2007
GoTL 2007b Gabinete do Secretário de Estado da Política Energética: Politica Energetica Nacional,
....os rumos a tomar – estrategias, 2007
GoTL 2007c Democratic Republic of East-Timor, Presidency of the Minister’s office: IV Constitutional
Government Program, 2007 - 2012
GoTL 2007d Governo da República Democrática de Timor-Leste, Decreto-Lei de Organica do IV
Governo Constitucional
GoTL 2007e Ministry of Natural Resources, Minerals and Energy Policy, Rural Electrification Master
Plan Timor-Leste, Update Report, October 2007
GoTL 2007f Francisco Ferreira (Ministry of Natural Resources, Minerals and Energy Policy): Summary
of National Gas Seep Inventory 2006/2007
GoTL 2008 Ministry of Finance, Democratic Republic of Timor-Leste: General Budget of State 2008,
Budget Paper No. 1, March 2008
IFC 2007 IFC/ADB: Timor-Leste – Economic and Social Development Brief, August 2007
IMF 2005 International Monetary Fund: Democratic Republic of Timor-Leste – Poverty Reduction
Strategy Paper, National Development Plan, July 2005
NCBA 2003 The National Cooperative Business Association, The Coffee Cooperatives of East Timor,
July 2003
NCRD 2008 Pedro Turquel de Jesus (National Commission for Research and Development (NCRD) /
Ministry of Economy and Development): Power Sector, April 2008
NDP 2002 Planning Commission: East-Timor - National Development Plan, May 2002
NOR 2006 NORPLAN: Timor-Leste: Strengthening the institutional framework and capacities of the
power sector, October 2006
NSD 2006a National Statistics Directorate of Timor-Leste: Population Projections 2004-2050, Analysis
of Census Results 2004, Report 1
NSD 2006b National Statistics Directorate of Timor-Leste: Atlas Census of Population and Housing
2004, 2006

NVE 2003 NVE, Preparation for institutional cooperation between the Ministry of Transport,
Communication and Public Works, Timor-Leste and Norwegian Water Resources and
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Energy Directorate (NVE), Norway, Mission Report, January 2003


SKM 2005 Sinclair, Knight, Merz (SKM), Technical Study on Use of Natural Gas Seep, December
2005
UN 2007 Paulo da Silva (UNDESA): Preliminary Report on Energy Activities, 2007
UNDP 2001 UNDP/Norwegian Consortium for Development and Environment (NODE), Assessing
Environmental Needs and Priorities in East Timor, May 2001
UNDP 2006a Kiran Man Singh, UNDP - Participatory Rural Energy Development Programme (PREDP),
Dili, Timor-Leste: Assessment Report (Submitted to GoTL, UNDP and PREDP, Timor-
Leste), Vol. 1 – Main Report, February 2006
UNDP 2006b UNDP/Government of Timor-Leste: Promoting Access to Energy Services at Rural Areas
of Timor-Leste and Formulation of National Rural Energy Development Policy, 2006
UNDP 2006c UNDP Country Office Timor-Leste/Ministry of Natural Resouces, Minerals and Energy
Policy: Regional Energy Programme for Povery Reduction (REP-PoR) for Timor-Leste,
February 08, 2006 (prepared by Abhijit Chatterjee and Zeferino Viegas Tilman)
UNDP 2006d UNDP: Human Development Report 2006 Timor-Leste, The Path out of Poverty:
Integrated Rural Development, January 2006
USAID 2005 USAID: Investment Opportunity Assessment for Timor-Leste, May 2005
WB 2003a World Bank/ESMAP: Concept Note “National Rural Electrification Planning Timor
Leste”, October 2003
WB 2003b World Bank and other Donors: Timor-Leste – Poverty in a New Nation: Analysis for Action
(Vol. I and II), May 2003
WB 2004a World Bank: Project Appraisal Document on a proposed grant for a Power Sector Priority
Investments Project, July 30, 2004
WB 2004b World Bank: Projekt Information Document, Power Sector Priority Investment Project,
June 2004
WB 2004c Jonathan Clouston: Coconut Oil as Fuel in Timor Liste. Viability of Coconut Oil as Diesel
Fuel Extender, September 2004 (Report for World Bank)
WB 2005a World Bank: Background Paper for the Timor-Leste and Development Partners Meeting,
April 2005
WB 2005b World Bank: Coconut Oil Fuelled Power Generation in Timor-Leste, November 2005
(Report by Jonathan Clouston)
WB 2005c World Bank: Country Assistance Strategy for Timor-Leste FY 06-08, 2005
WB 2006a World Bank: Project Information Document – Concept Stage: Energy Services Delivery
Project, 2006
WB 2006b World Bank (by John Conroy): Timor-Leste, Access to Finance for Investment and
Working Capital, 2006
WB 2006c World Bank: Rural Electrification Master Plan Timor Leste – Draft Report, August 2006
WB 2006d Jonathan Clouston, Options for Renewable Energy Technologies in Timor-Leste, Draft for
the World Bank, February 2006
WB 2006e World Bank: Project Appraisal Document on a proposed grant for a Gas Seep Harvesting
Project, December 8, 2006
WB 2006f NORPLAN/econ (on behalf of World Bank/ESMAP): Timor-Leste: Strengthening the
institutional framework and capacities in the power sector, October 2006
WB 2007a World Bank: Project Paper on a proposed grant to the Democratic Republic of Timor-
Leste for an Energy Services Delivery Project, June 7, 2007
WB 2007b World Bank: Timor-Leste: Issues and Options in the Household Energy Sector, Workshop
to discuss finding of a World Bank Scoping Study (presentations), June 19,2007
WB 2007c Keith Openshaw: Timor-Leste: Biomass Energy Supply, Draft Report to the World Bank,
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

April 2007
WB 2007d World Bank, Timor-Leste – Issues and Options in the Household Energy Sector: A Scoping
Study, June 2007

2. Other References

Energy and Millenium Development Goals


DFID 2002 Department for International Development: Energy for the Poor – Underpinning the
Millenium Development Goals,
GNESD 2007a Global Network on Energy for Sustainable Development (GNESD/UNEP): Reaching the
Millenium Development Goals and beyond: access to modern forms of energy as a
prerequiste, 2007
REN 2005 REN21 Renewable Energy Policy Network: Energy for Development: The Potential Role
of Renewable Energy in Meeting the Millennium Development Goals. Washington,
DC:Worldwatch Institute, 2005.
UN 2005 United Nations: The Energy Challenge for Achieving the Millenium Development Goals,
2005
UNDP 2005b UNDP: Achieving the Millenium Goals: The Role of Energy Services, Case Studies from
Brazil, Mali and the Philippines, January 2005
UNDP 2005c UNDP: Energy Services for the Millenium Development Goals, 2005
UNDP 2005d UNDP: Energizing the Millenium Development Goals, August 2005
UNDP 2006f Olav Kjoerven (UNDP): Energizing the MDGs: going beyond business-as-usual to address
energy access, sustainability and security, 2006
UNDP2007e UNDP: A Review of Energy in National MDG Reports, January 2007
WIN 2006 Winrock International Nepal: Report on Assessment of Rural Energy Development
Programme (REDP) Impacts and its Contribution in achieving MDGs, 2006

Access to Energy in Rural Areas / Rural Electrification / Energy and Poverty


Reduction / Financing Models
ADB 2004b Asian Development Bank: Technical Assistance to the Islamic Republic of Afghanistan for
Poverty Reduction and Rural Renewable Development (Financed by the Poverty Reduction
Cooperation Fund), December 2004
ARE 2007 Alliance for Rural Electrification (ARE): Renewable Energy Technologies for Rural
Electrification. The Role and Position of the Private Sector, 2007
BAR 1997 Douglas F. Barnes et.al.: Tackling the Rural Energy Problem in Developing Countries,
June 1997
ESCAP 2005 UN Economic and Social Commission for Asia and the Pacific: Energy Services for
Sustainable Development in Rural Areas in Asia and the Pacific: Policy and Practice, 2005
ESD 2003 ESD/DFID – Partnership for Access to Community Electricity (PACE): Policy Guidelines
for increasing access to electricity through public/private partnerships, December 2003
GEF 2003a GEF Small Grants Programme: Community Action to Address Climate Change: Case
Studies Linking Sustainable Energy Use with Improved Livelihoods, November 2003
GNESD 2005b GNESD/AFREPREN/FWD: The potential contribution of non-electrical Renewable
Energy Technologies to Poverty Reduction in East-Africa, December 2005
GNESD 2005c GNESD/TERI: Renewable Energy in South East Asia for improving access to energy (with
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

focus on India and Nepal), 2005


GNESD 2006 Global Network on Energy for Sustainable Development (GNESD/UNEP): Poverty
Reduction – Can Renewable Energy make a real Contribution?, July 2006
GNESD 2007b Global Network on Energy for Sustainable Development (GNESD/UNEP): Renewable
Energy Technologies and Poverty Alleviation: Overcoming Barriers and Unlocking
Potentials, 2007
MODI 2004 Vijay Modi (Earth Institute/Columbia University): Energy services for the poor, December
2004
NREL 2000a National Renewable Energy Laboratory (NREL): Renewable Energy for Rural Schools,
2000
NREL 2005 A. Ghandour (National Renewable Energy Laboratory): Sustainable Rural Energy
Development in Brazil, October 2005
OLA 2005 OLADE: Best Practices in Sustainable Rural Energy Development: Five International
Case Studies – Project Rural: Electrification, March 2005
REW 2006 Peter Richards: Renewable Development – New strategies in rural electrification, in:
Renewable Energy World, July-August 2006
SED 2004 Secretariat Energy for Development, The Netherlands: Energy for Development –
Conference Papers, December 2004
UNDP 2002a UNDP: Clean Energy for Development and Economic Growth: Biomass and other
Renewable Energy Options to Meet Energy and Development Needs in Poor Nations
UNDP 2002b UNDP: Energy for Sustainable Development, 2002
UNDP 2003 UNDP, World LP Gas Association: LP Gas Rural Energy Challenge, July 2003
UNDP 2004b UNDP: World Energy Assessment, overview 2004 update
UNDP 2004c UNDP: Energy for Sustainable Development in Asia and the Pacific Region: Challenges
and Lessons learned from UNDP Projects, 2004
UNDP 2004d UNDP: Reducing Rural Poverty through Increased Access to Energy Services – A Review
of the Multifunctional Platform Project in Mali, April 2004
UNDP 2004e UNDP/GEF: Solar Photovoltaics in Africa – Experiences with Financing and Delivery
Models, 5-2004
UNDP 2005a UNDP: Scaling up Modern Energy Services in East Africa, July 2005
UNDP 2005e UNDP/GVEP (Global Village Energy Partnership): Kenya Energy Atlas, 2005
UNDP 2006e UNDP: Expanding Access to Modern Energy Services – Lessons from community-based
energy initiatives, May 2006
UNDP 2007d UNDP: Energizing Poverty Reduction – A Review of the Energy-Poverty Nexus in Poverty
Reduction Strategy Papers, March 2007
UNDP 2007f UNDP: Mainstreaming Access to Energy Services: Experiences from Three African
Regional Economic Communities, May 2007
UNEP 2006 UNEP: Clean Energy, Entrepeneurs and Sustainable Development – The African Rural
Energy Enterprise Development Initiative 2000-2005, 2006
USAID 2007 USAID: Powering Health – Electrification Options for Rural Health Centers, 2007
WB 1996 World Bank, Rural Energy and Development For Two Billion People, 1996
WB 2008 World Bank: The Welfare Impact of Rural Electrification: A Reassessment of the Costs and
Benefits, 2008
WISIONS 2004 WISIONS (Promotion of Resource Efficiency Projects – PREP): Water and Energy –
Precious Resources, 2004
WISIONS WISIONS (Promotion of Resource Efficiency Projects – PREP): Microfinance and
2006a Renewable Energy – Investing in a Sustainable Future, 2006
WISIONS WISIONS (Promotion of Resource Efficiency Projects – PREP): Sustainable Biofuel
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

2006b Production and Use – Options for Greener Fuels, 2006


WISIONS 2007 WISIONS (Promotion of Resource Efficiency Projects – PREP): Sustainable Energy for
Poverty Reduction, 2007
WISIONS 2008 WISIONS (Promotion of Resource Efficiency Projects – PREP): Water for Energy and
Energy for Water, 2008

Productive Use of Rural/Renewable Energy


See also documents above on “Energy and Poverty Reduction”
GNESD 2005 GNESD / Enda-TM: The role of renewable energy in the development of productive
activities in rural West Africa: The case of Senegal, March 2005
GNESD 2006b GNESD / Asian Institute for Technology: Report on Role of Renewable Energy for
Productive Uses in Rural Thailand, January 2006
NREL 2000b National Renewable Energy Laboratory: Renewable Energy for Microenterprise, 2000
UNEP 2003a UNEP / Rural Energy Enterprise Development (REED): Open for Business –
Entrepeneurs, Clean Energy and Sustainable Development, 2003
UNEP 2003b UNEP / Energy through Enterprise (E+Co): A Guide for Entrepeneurs on Income
Generating Activities: Applications of Clean Energy Technologies for Productive Uses,
2003
UNEP 2003c UNEP / Rural Energy Enterprise Development (REED): REED Toolkit – A Handbook for
Energy Entrepeneurs, 2003
UNIDO 2002 UNIDO: Initiative on Rural Energy for Productive Use, 2002
WB 2003c World Bank: Survey of Productive Uses of Electricity in Rural Areas, April 2003
(submitted by Robert E. Fishbein)
WIN 2004 Winrock: Guide to Energy Options for Small-Scale Rural ICT Projects, September 2004

Energy and Gender


DFID 2003 University of Twente: The Gender – Energy – Poverty Nexus, Finding the energy to
address gender concerns in development, 2003
EED 2004 Energy, Environment and Development (EED): Re-thinking gender and energy: Old and
new directions, May 2004
ENDA 2005a ENDA Tiers-Monde: The Faces of Energy-related Poverty through the eyes of Women and
Men in Senegal, 2005
ENDA 2005b ENDA Tiers-Monde: Communities on the Margin of Development: Real Life Stories of
Gender Energy and Poverty, 2005
KEA 2006 M.M. Kealotswe/University of Twente: Gender Mainstreaming in Botswana Energy
Policy; Model for a Gender –Sensitive Energy Policy, August 2006
PRI 2005 Policy Research International: Energy, Women and Rural Poverty: A review focusing on
Latin America, May 2005
UNDP 2004a UNDP: Gender&Energy for Sustainable Development: A Toolkit and Resource Guide,
December 2004
UNDP 2007c UNDP: Will tomorrow be brighter than today? – Adressing gender concerns in energy for
poverty reduction in the Asia-Pacific region, Bangkok 2007

Other Documents
ASEAN 2007 EU-ASEAN Energy Facility: Analysis of the impact of enhanced use of renewable and
advanced fossil fuel technologies for power generation in selected ASEAN countries and
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

development of appropriate policies and institutional frameworks, January 2007


BMU 2007 German Federal Ministry for the Environment/Umweltbundesamt: Renewable Energy and
the Clean Development Mechanism, April 2007
ECLAC 2005 Detlef Loy/Manlio Coviello (UN ECLAC and GTZ): Renewable energies potential in
Jamaica, June 2005
ESMAP 2007 ESMAP: Technical and Economic Assessment of Off-Grid, Mini-grid and Grid
Electrification Technologies, December 2007
EU 2008 ACP-EC Energy Facility: Newsletters April 2006-April 2008 (No. 1 – 24)
GEF 2003b Global Environment Facility – Small Grants Programme: Responding to Climate Change,
Generating Community Benefits, 2003
GTZ 2007 Detlef Loy/GTZ: Energy-policy Framework Conditions for Electricity Markets and
Renewable Energy, Chapter Indonesia, September 2007
NEDO 2005 New Energy and Industrial Technology Development Organization (NEDO): CDM
Development in Indonesia – Enabling Policies, Institutions and Programmes, Issues,
Challenges, 2005
SRI 2007 Resources Development Consultants: Monitoring and Evaluation of the Renewable Energy
for Rural Economic Development Project, Mid-Term Review Report, September 2004
SRI 2008 Sri Lanka: Biomass Energy Promotion towards Rural Economic Development and
Environmental Sustainability, 2008
UBA 2007 Umweltbundesamt (Federal Environment Agency Germany): Promoting Renewable
Energy Technologies in Developing Countries through the Clean Development
Mechanism, October 2007
UNDP 2000 UNDP: World Energy Assessment: Energy and the challenge of Sustainability, 2000
UNDP 2006g UNDP: Clean Development Mechanism for Pover Reduction in Asia and the Pacific, 2006
UNDP 2007a UNDP (Regional Center Bangkok): Fuel to Change – Overcoming vulnerability to rising
oil prices, Options for Asia and the Pacific, Bangkok, 2007
UNDP 2007b UNDP, Human Development Report 2007/2008, New York 2007
WB 2006f World Bank: Improving Lifes - World Bank Group Progress on Renewable Energy &
Energy Efficiency in Fiscal Year 2006, December 2006

Training Package “Sustainable Energy Regulation and Policymaking”


A comprehensive training package on “Sustainable Energy Regulation and Policymaking for Africa” has been
funded by the United Nations Industrial Development Organisation (UNIDO) and the Renewable Energy and
Energy Efficiency Partnership (REEEP) and was edited in 2007. It contains the following modules:

INTRO Introduction and user manual


Module 1 Overview of renewable energy and energy efficiency
Module 2 The energy sector in Africa
Module 3 Introduction to energy regulation
Module 4 The reform of the power sector in Africa
Module 5 Regulation types and options
Module 6 Structure, composition and role of an energy regulator
Module 7 Formulating regulatory scenarios and national self-assessment
Module 8 Renewable energy technologies
Module 9 Impact of different power sector reform options on renewables
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Module 10 Regulatory and policy options to encourage development of renewable energy


Module 11 Increasing energy access in rural areas
Module 12 Distributed generation: options and approaches
Module 13 Energy efficiency technologies and benefits
Module 14 Supply-side management
Module 15 Demand-side management
Module 16 Impact of different power sector reform options on energy efficiency
Module 17 Regulatory and policy options to encourage energy efficiency
Module 18 Industrial energy efficiency and systems optimization
Module 19 Energy efficiency in buildings
Module 20 Financing options for renewable energy and energy efficiency
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Technical Documents
The following lists contains technical documents that have all been made available to the Secretariate of State
for Energy Policy Timor Leste as soft copies (pdf-files). The code/numeration refers to the file name.

Biogas

BIOGAS 1 A biogas kitchen (India), January 2007


BIOGAS 2 A small-scale biodigestor designed and built in the Philippines by Gerry Baron (Internet)
BIOGAS 3 Anaeobic Digestion – Information from Wikipedia
BIOGAS 4 Beginners’ Guide to Biogas (Internet)
BIOGAS 5 Small-scale biogas use with biodigesters in rural Costa Rica
BIOGAS 6 Lylian Rodriguez and T.R. Preston: Biodigester installation manual
BIOGAS 7 PACE: Biogas Action Sheet (Internet)
BIOGAS 8 Biogas Support Programm in Nepal, January 2008
BIOGAS 9 GTZ, Biogas Digest, 1999
BIOGAS 10 K. Vinoth Kumar, R. Kasturi Bai: Plastic biodigesters – a systematic study, December 2005
BIOGAS 11 Vietnam Biogas Programme (Internet)
BIOGAS 12 The introduction of low-cost polyethylene tube biodigesters on small-scale farms in Vietnam,
1997
BIOGAS 13 Gaslight
BIOGAS 14 Asia-Pacific Environmental Innovation Strategies: Biogas plants based on night soil
BIOGAS 15 Philipp Hartmann: Family size bio digesters in Asia
BIOGAS 16 Robert A. White: The role of biogas in rural development and resource protection in China: A
case study of Lijang Municipality, Yunnan Province, China, July 2005
BIOGAS 17 Albert Butare: Biolatrines in Tanzania, 1996
BIOGAS 18 ITDG: Biogas and liquid biofuels, Technical brief
BIOGAS 19 LAMNET: Biomass Gas Generator, leaflet
BIOGAS 20 L. Neves et. al.: Anaerobic co-digestion of coffee waste and sewage sludge, 2004
BIOGAS 21 B. Pound et. al.: Biogas Production from mixtures of cattle slurry and pressed sugar cane
stalk, with and without urea, Dominican Republic 1981
BIOGAS 22 Mantopi Lebofa: Demand oriented biogas technology extension in Lesotho
BIOGAS 23 K.V. Narasimha Murthy et.al. (International Energy Initiative): An effluent treatment-cum-
electricity generation option at coffee estates: Is it financially feasible?
BIOGAS 24 Ludwig Sasse et.al. (GATE/GTZ): Improved Biogas Unit for Developing Countries, 1991
BIOGAS 25 H.N. Chanakya: Multifeed biogas reactor for coffee waste water and biomass wastes –
performance under highly fluctuating operation conditions
BIOGAS 26 Biogas for Better Life: Power from Biogas Plant to Tribal Hamlet (India, 10 June 2007)
BIOGAS 27 GEF Small Grants Programme: Biogas Technology in Agricultural Regions, Tanzania, 2001
BIOGAS 28 SNV (Netherlands): Commercialisation and business development in the framework of the Asia
Biogas Programme, March 2007
BIOGAS 29 Winrock International: Africa Biogas Initiative – Potential for Growth and Models for
Commercialization, Annotated Bibliography, May 2007
BIOGAS 30 Biogas for Better Life – An African Initiative (different documents)
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

BIOGAS 31 Bastiaan Teune (SNV Vietnam): The Biogas Program in Vietnam; Amazing results in poverty
reduction and rural development; from: Boiling Point No. 53, 2007
BIOGAS 32 Vacvina, E+Co., Sale and Distribution of Household Biogas Systems (Vietnam), 2001
BIOGAS 33 Kurt Roos, Livestock Waste Management, Opportunities in S.E. Asia (presentation)
BIOGAS 34 GEF Small Scale Programme: Mali, Biogas in semi-urban areas, 2000
BIOGAS 35 SNV Vietnam: The Vietnam Biogas Programme
BIOGAS 36 Hoang Kim Giao (Ministry of Agriculture and Rural Development): The current situation of
livestock production and waste management in Vietnam (presentation)
BIOGAS 37 Government of Nepal/Ministry of Science and Technology, Alternative Energy Promotion
Centre: Biogas User’s Survey 2003/04, May 2004
BIOGAS 38 Albert Butare, Ainea Kimaro: Anaerobic technology for toilet wastes management: the case
study of the Cyangugu pilot project, Kigali 2002
BIOGAS 39 Do Kim Tuyen: Overview of Biogas Technology in Vietnam, presentation
BIOGAS 40 Biogas Sector Partnership – Nepal: Necessary Conditions for Successful Introduction of Large
Scale Biogas Programme: Deriving from Nepal Experience, October 2006
BIOGAS 41 Biogas Sector Partnership Nepal (website)
BIOGAS 42 Financing Biogas – A Reference manual for Microfinance Institutions in Nepal
BIOGAS 43 Govind Nepal: Policies for promoting investment in energy sustainability – A case of biogas
sector of Nepal, March 2008

Energy-efficient Stoves and Indoor Air Quality

STOVE 1 GTZ: How to build the Improved Household Stoves (Manual), November 2004
STOVE 2 GTZ: Diversity of Technologies (from the internet)
STOVE 3 GTZ: Impact Report – Efficient Use of Biomass for Cooking
STOVE 4 GTZ: Cooking Energy, 2007
STOVE 5 GTZ: Use an improved Stove to save Energy and the Environment, November 2003
STOVE 6 Boiling Point 46: Improved Stoves for preventing Deforestation. Myth or Reality?, Spring 2001
STOVE 7 Grant Ballard-Tremeer / Angela Mathee: Review of interventions to reduce the exposure of
women and young children to indoor air pollution in developing countries, May 2000
STOVE 8 James H. Kilabuko / Satoshi Nakai: Effects of Cooking Fuels on Acute Respiratory Infections in
Children in Tanzania, 2007
STOVE 9 New York Times: Stove for the Developing World’s Health, 22 January 2008
STOVE 10 UNDP to shrink Indoor Pollution and Conserve Forests in Pakistan, January 2007
STOVE 11 ARECOP - Asia Regional Cookstove Programme (Internet)
STOVE 12 OECD/IEA: Energy for Cooking in Developing Countries, from: World Energy Outlook 2006
STOVE 13 Didier Bazile: Improved stoves for preventing deforestation: myth or reality?, from: Boiling
Point No. 46, Spring 2001
STOVE 14 How to design a Rocket Stove
STOVE 15 BioEnergy Lists: Biomass Cooking Stoves, website (portal), accessed 21.4.2008
STOVE 16 GTZ: Efficient Use of Biomass for Cooking, Impact report, 2004
STOVE 17 Eyça Ergeneman (Eritrea Energy Research and Training Centre): Recommendations for the
Eritrea Dissemination of Improved Stoves Program, Spring 2003
STOVE 18 Peter Scott: Introduction of Rocket Stove Cooking Devices in Uganda, September 2003
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

STOVE 19 Peter Scott: Introduction of Rocket Stove Technologies (Institutional stoves, Household stoves
and insulative refractory bricks) into Malawi, October 2004
STOVE 20 Pakistan: More than 60,000 stove devices installed to conserve energy, 15 July 2007
STOVE 21 Peter Scott: Introduction of Rocket Stove Cooking Devices (Household Stoves, Bread Ovens and
Institutional Stoves) into SADC Region, February 2004
STOVE 22 Daniel Theuri (ITDG): Rural Energy, Stoves and Indoor Air Quality, The Kenyan Experience
STOVE 23 Peter Scott: No Food without Fuel: Improved Cook stoves for WFP schools in Africa
(Mozambique)
STOVE 24 Peter Scott: Rocket Stoves for Sub-Saharan Africa
STOVE 25 ESMAP: Impact of Improved Stoves on Indoor Air Quality in Ulaanbaatar, Mongolia, Report
313/05, November 2005
STOVE 26 Elizabeth Bates et.al.: Participatory approaches for allevating indoor air pollution in rural
Kenyan kitchens, in: Boiling Point No. 48, 2002
STOVE 27 D. Ghebrehiwot (Ministry of Energy and Mines Eritrea): An integrated high efficiency stove
design, September 2000
STOVE 28 Hugh Burnham-Slipper: Eritrean Stove Optimisation – Literature review, March 2005
STOVE 29 ESMAP: Haiti: Strategy to Alleviate the Pressure of Fuel Demand on National Woodfuel
Resources, Technical Paper 112/07, April 2007
STOVE 30 ESMAP: Pilot Commercializsation of Improved Cookstoves in Nicaragua, Technical Paper 085,
December 2005
STOVE 31 Winrock: Household Energy, Indoor Air Pollution and Health: Overview of Experiences and
Lessons in Guatemala, October 2004
STOVE 32 Liz Bates (ITDG): Smoke health and household energy, September 2002
STOVE 33 ITDG: Kenya Smoke and Health Project 1998-2001 (brief description)
STOVE 34 Hugh Warwick et.at. (ITDG): Smoke – the Killer in the Kitchen, 2004
STOVE 35 ITDG: Reducing indoor air pollution in rural households in Kenya: working with communities to
find solutions, 1998-2001, January 2002
STOVE 36 ITDG: The Upesi stove for households in Kenya (brief description)
STOVE 37 World Health Organization (WHO): Addressing the Impact of Household Energy and Indoor Air
Pollution on the Health of the Poor: Implications for Policy Actions and Intervention Measures,
2002
STOVE 38 World Health Organization (WHO): Fuel for Life – Household Energy and Health, 2005
STOVE 39 A.R. Siddiqui et.al.: Eye and respiratory symptoms among women exposed to wood smoke
emitted from indoor cooking : A study from southern Pakistan, in: Energy for Sustainable
Development, September 2005
STOVE 40 Nicolai Schlag et.al. (Stockholm Environment Institute): Market Barriers to Clean Cooking
Fuels in Sub-Saharan Africa: A Review of Literature, April 2008

Biofuels

Jatropha

JATRO 2 Biofuel for Sustainable Development and Poverty Alleviation in Cambodia in Rural Cambodia
(project Nov. 2004 – March 2006)
JATRO 3 Onua Amoah: Jatropha project in Ghana: How to restore vegetation and ecosystem along
major man made lakes and ways to raise finance
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

JATRO 4 D. Ramesh et.al. (India): Renewable Energy Technologies for Energy Generation from
Jatropha Curcas
JATRO 5 R. Henning: Identification, selection and multiplication of high yielding Jatropha curcas L.
plants and economic key points for viable Jatropha oil production costs
JATRO 6 Integrated utilization of the Jatropha Plant
JATRO 7 Jatropha sub-sector Evolution in Tanzania
JATRO 8 Giovanni Venturini Del Greco: The Jatropha Energy System: An integrated approach to
decentralized and sustainable energy production at the village level
JATRO 9 Banarbas Marwire: Jatropha situation in Zimbabwe
JATRO 10 Hartlieb Euler: Case Study „Jatropha Curcas“ (India), April 2004
JATRO 11 GTZ: Proyectos de Jatropha con participación de Cooperación Alemana, 18.5.2006
JATRO 12 Reinhard K. Henning: “The Jatropha System” – Economy and Dissemination Strategy, June
2004
JATRO 14 Bagani GbR, The Binga Lamp for Jatropha Oil
JATRO 15 Reinhard Henning (GTZ), The Jatropha Manual (Zambia)
JATRO 17 Reinhard Henning et.al.: Intermediate Report of the Project “Production and Use of Plant Oil
as Fuel” (Mali), November 1994
JATRO 18 List of Jatropha Projects world-wide, 2003
JATRO 19 Jacob Kahl Jebsen, Generative Propagation of Jatropha curcas L. on Kalahari Sand
JATRO 20 African Centre for Plant Oil Technology: Mali-Folkecenter converts pick-up to run on plant
oil, 2001
JATRO 21 Hans-Jürgen Wiener (GTZ): Mali – Financial and Economic Analysis of the Jatropha System,
January 1996
JATRO 22 Oil Expeller for Jatropha Seeds (Internet)
JATRO 23 Information on the Jatropha System (Literature list), 2001
JATRO 24 Oil extraction
JATRO 25 ATTRA: Oilseed processing for small-scale producers
JATRO 26 Wikipedia: Jatropha Curcas, 1.3.2008
JATRO 27 Wikipedia: Jatropha Oil, 1.3.2008
JATRO 28 Wikipedia: Biofuels in India, 2.3.2008
JATRO 30 Reinhard K. Henning: “The Jatropha System”. Integrated Rural Development by Utilisation of
Jatropha curcas L. as Raw Material and as Renewable Energy, April 2004
JATRO 31 Wikipedia: Universal Nut Sheller, 1.3.2008
JATRO 32 M. Funcke-Bartz et.al.: Role of Hybrid-Systems in Rural Electrification – Experiences from
pilot projects in Africa, June 2007

Biodiesel from Jatropha

JATRO 1 S. Traoré: Characterisation of a biodiesel from an alkali transesterification of jatropha curcas


oil
JATRO 13 P. Chitra et.al.: Optimisation of experimental conditions for biodiesel production from alkali-
catalysed transesterification of Jatropha Curcus oil, September 2005
JATRO 16 D. Ramesh et.al. (India): Production of biodiesel from jatropha curcas oil by using pilot
biodiesel plant
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

JATRO 29 Eize de Vries: Future of biodiesel? A look at the potential benefits of Jatropha, from:
Renewable Energy World, May-June 2007

Coconut Oil

COCO 1 Tony Deamer et.al.: Using Coconut Oil as a Fuel in Vanuatu, March 2005
COCO 2 William Burnyeat: What’s next for the tree of life? A socio-economic analysis of coconut oil
as a potential substitute for diesel in Tuvalu, September 2004
COCO 3 Dennis Pont (energy options): Power and Heat Generation with Renewable Fuels – Liquid
Solar Energy, 2005 (presentation)
COCO 4 Vanuatu’s Biodiesel from Coconut oil: its Economic and Environmental Impact, August 2005
(presentation)
COCO 5 Energy and Security Group: Assessment of a Potential Coconut-based Bio-diesel Refinery
Initative in Fiji, and Establishment of New Rural Enterprises, July 2005
COCO 6 Vegetable Oils as Fuels – Examples, August 2005 (presentation)
COCO 7 Unelco-Suez: Industrializing cocofuel, August 2005
COCO 8 Liezzel M. Pascual et.al.: Comparative life cycle assessment of coconut biodiesel and
conventional diesel for Philippine automotive transportation and industrial boiler application,
6-2004
COCO 9 Aurélie Leplus: Biofuel Energy from Coconut in the Pacific Islands – The Lory cooperative
pilot project, January 2003
COCO 10 Charlie W. Blair: The Coconut Fireant, or “A Technology Assessment using Actor-Network
Theory to analyse the Potential for Coconut Oil Bioenergy in the Fiji Islands, September 2004
COCO 11
COCO 12
COCO 13

Multifunctional Platform

JATRO 33 The Multifunctional Platform (presentation and description)


JATRO 34 UNDP: Reducing Rural Poverty through Increased Access to Energy Services, A Review of the
Multifunctional Platform in Mali, April 2004
JATRO 35 Design that matters – UNDP Multifunctional Platform, Report, July 2003

Solar Electricity (Photovoltaics)

General Information
SOL 1 ITDG: Solar Photovoltaic Energy, Technical Brief

Economy / Financing
SOL 2 Mohanlal Kolhe et.al.: Economic viability of stand-alone photovoltaic systems in comparison
with diesel-powered system for India, 2002
SOL 3 UNDP: Solar Photovoltaics in Africa, May 2004
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

SOL 4 IEA: Sources of Financing for PV-based Rural Electrification in Developing Countries, 2004
SOL 5 IEA: Financing Mechanisms for Solar Home Systems in Developing Countries, 2002
SOL 6 IEA: Financing Mechanisms for Solar Home Systems in Developing Countries, 2002 (Executive
Summary)
SOL 7 Anders Ellegard et.al.: Rural People pay for Solar: Experiences from the Zambia PV-ESCO
Project
SOL 8 F. van der Vleuten-Balkema et.al.: Market Development Models for Household PV Systems in
Developing Countries

Capacity Building, Project Design and Implementation


SOL 9 IEA: PV for Rural Electrification in Developing Countries – A Guide to Capacity Building
Requirements, 2003
SOL 10 IEA: PV for Rural Electrification in Developing Countries – Programme Design, Planning and
Implementation, 2003
SOL 11 IEA: Institutional Framework and Financial Instruments for PV Deployment in Developing
Countries, 2003
SOL 12 IEA: 16 Case Studies on the Deployment of Photovoltaic Technologies in Developing Countries,
2003
SOL 13 IEA: Summary of Models for the Implementation of Photovoltaic Solar Home Systems in
Developing Countries, Part 1: Summary, 2003
SOL 14 IEA: Summary of Models for the Implementation of Photovoltaic Solar Home Systems in
Developing Countries, Part 2: Practical Experience, 2003
SOL 15 F.D.J. Nieuwenhout et.at.: Experiences with Solar Home Systems in Developing Countries: A
Review, 2001
SOL 16 Ecofys: Recommended Practices Guide: PV Dissemination Models for Developing Nations, 2001
SOL 17 Frank van der Vleuten-Balkema et.al.: Lessons learnt from Solar Sector Infrastructure
Development in Africa and Asia
SOL 18 Frank van der Vleuten-Balkema et.al.: Systematic Approaches to Sector Infrastructure
Development for PV in Developing Countries, 2002
SOL 19 IEA/CADDET: Solar Energy in Indonesia, 1999

Quality Standards and Technical Specifications


SOL 20 GTZ: Quality Standards for Solar Home Systems and Rural Health Power Supply, February 2000
SOL 21 Rural Electrification and Renewable Energy Development Project Bangladesh (REREDP):
Technical Specifications for Solar Home Systems, October 2002
SOL 22 China Renewable Energy Development Project
SOL 23 Sri Lanka, Renewable Energy for Rural Economic Development Project: Specifications for Solar
Home Systems, August 2002
SOL 24 Moneer Azzam et.al.: Raising the standard – Gobal PV standardization and specification, in:
Renewable Energy World, July-August 2004
SOL 25 IEA: The Role of Quality Management, Hardware Certification and Accredited Training in PV
Programms in Developing Countries, 2003
SOL 26 Markus Real et.al.: Quality assured – PV GAP global quality label based on IECEE certification,
in: Renewable Energy World, November-December 2004
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Components: Batteries, Lights, Modules, Controllers, Water Pumping, Solar


Lanterns
SOL 27 Kyocera: Battery types used in Solar Systems
SOL 28 How to keep batteries alive
SOL 29 Steca: Solar Light Bulbs (12V), technical specifications
SOL 30 Kyocera: KC series modules (contains technical specification lists, installation manual and some
price lists)
SOL 31 Ammini: Solar PV modules, specifications
SOL 32 Kyocera: KS 20 module, specifications (20W module)
SOL 33 Solar Water Pumping
SOL 34 GTZ (gate): Photovoltaic Water Pumps
SOL 35 GEF/UNDP: Community-scale Solar Water Pumping, Thailand
SOL 36 Carbon Trade: Solar Water Pumps for Rural Villages in India
SOL 37 Nyserda: Guide to Solar-Powered Water Pumping Systems in New York State
SOL 38 Designing a small solar PV system
SOL 39 Ammini: Solar Home Systems
SOL 40 Omega Electronics: Solar Home Controller, technical specifications
SOL 41 Steca: Product catalogue 2007-2008 (extract, only PV off-grid applications)
SOL 42 Plasmatronics: Solar Charge Controller PL Series, User Manual
SOL 43 Plasmatronics: Solar Charge Controller PL Series, Reference Manual
SOL 44 ESMAP: Portable Solar Photovoltaic Lanterns: Performance and Certification Specification,
and Type Approval, August 2005
SOL 45 Sri Lanka – Renewable Energy for Rural Economic Development Project: Specifications for
Solar Lanterns, December 2002
SOL 46 Kieron Crawley et.al. (ITDG): Improved Designs for Solar Rechargable Lanterns and their
Development and Marketing in Developing Countries, (talks about the Glowstar Lantern)
SOL 47 Gujarat Energy Development Agency: Specifications for a Solar Lantern
SOL 48 ITDG: Rural lighting (Technical Brief)
SOL 49 Omega Electronics: Indoor Lighting Luminary
SOL 50 Solux e.V.: Solux lights (lanterns for assembly)
SOL 51 Solux e.V.: Assembly Instruction for the Solar Lantern System Solux IP, January 2005
SOL 52 Solux e.V.: Basic points to open a solar-lantern workshop with SOLUX, January 2006
SOL 53 Solux e.V.: Price list for SOLUX solar lanterns
SOL 54 Hans Hartung: Solar Light for Oruching Valley, Uganda, October 2006
SOL 55 Solar Lanterns from China
SOL 56 Glowstar Lantern
SOL 57 Ammini (India): Solar Lanterns (Technical specifications)
SOL 58 Ammini Solar Pvt. Ltd.: Product Catalogue 2007
SOL 59 Asia-Pacific Environmental Innovation Strategies (APEIS): Market development for solar lantern
in post-subsidy regime, August 2004
SOL 60 University of Illinois: Solar-Charged, Battery-Operated LED Lanters to Replace Oil Lamps in
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

the Developing World, May 2007


SOL 61 Solar Aid, Homepage
SOL 62 Oorja Solar, Indian Supplier of Solar Lanterns
SOL 63 Noble Energy Solar Technologies (NEST), India: Affordable solar lanterns to replace kerosene
lamps, 2005
SOL 64 World Bank, Solar Home System (brief factsheet), 2008
SOL 65 Solar Powered Laptops, Mobile Chargers and Cable Kits
SOL 66 Power-FAB: Module Mounting Structures
SOL 67 Alliance for Rural Electrification (ARE): Hybrid power systems based on renewable energies
SOL 68 SunTechnics: Repeater Stations with PV (case studies)
SOL 69 RERED Project: Survey of Batteries used in Solar Home Systems in Sri Lanka, 2005
SOL 70 Sri Lanka, RERED compliant batteries, February 2008
SOL 71 Sri Lanka, RERED compliant lights, February 2008
SOL 72 Sri Lanka, RERED compliant modules, February 2008
SOL 73 Sri Lanka, RERED compliant controllers, February 2008
SOL 74 Sri Lanka, RERED: Specifications for Solar Home Systems, July 2004

Hydropower

HYDRO 1 European Small Hydropower Association (ESHA): Small Hydropower for Developing
Countries, September 2005
HYDRO 2 European Small Hydropower Association (ESHA): Environmental Integration of Small
Hydropower Plants, September 2005
HYDRO 3 ESMAP: Stimulating the Picohydropower Market for Low-Income Households in Ecuador,
Technical Paper 090, December 2005
HYDRO 4 GTZ: Mini-Hydropower Project Indonesia, 2002-2004
HYDRO 5 BChydro: Handbook for Developing Micro Hydro in British Columbia, March 2004
HYDRO 6 Chris Greacen: Low-head Micro hydro Thai Style, in: home power 124, April&May 2006
HYDRO 7 International Energy Agency (IEA): Small Hydro – Mechanical Equipment, 2000
HYDRO 8 ITDG: Best Practices for Sustainable Development of Micro Hydro Power in Developing
Countries, March 2000
HYDRO 9 European Small Hydropower Association (ESHA): Guide on How to Develop a Small
Hydropower Plant, 2004
HYDRO 10 International Network for Small Hydropower (IN-SHP): Light-up Rural Africa Project, August
2007
HYDRO 11 International Network for Small Hydropower (IN-SHP): Newsletters March and April 2007 and
description of IN-SHP
HYDRO 12 Phillip Maher and Nigel Smith: Pico Hydro for Village Power – A Practical Manual for
Schemes up to 5 kW in Hilly Areas, May 2001
HYDRO 13 Phillip Maher: The Pico Power Pack, May 2001
HYDRO 14 Pico Hydro Systems in Vietnam
HYDRO 15 SPLASH (EU-Project “Spatial Plans and Local Arrangement for Small Hydropower”):
Guidelines for Micro Hydropower Development, October 2005
HYDRO 16 European Commission: Guide on Environmental Approach to Small Hydro Plants, 2000
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

HYDRO 17 Energy Saving Trust: Small scale hydroelectricity, Factsheet

Solid Biomass
BIO 1 UNDP: Clean Energy for Development and Economic Growth: Biomass and other Renewable
Options to Meet Energy Needs and Development Needs in Poor Nations, 2002
BIO 2 ESMAP: Advancing Bioenergy for Sustainable Development, April 2005
BIO 3 GTZ: The significance of Biomass Energy Strategies (BEST) for Sub-Saharan Africa, September
2006
BIO 4 Nguyen Le Truong et.al.: Potential of Distributed Power Generation from Biomass Residues in
Vietnam – Status and Prospect, January 2004
BIO 5 ARECOP: Gasification Pilot Project – Status & Plan for Follow Up Actions, November 2007
BIO 6 TERI: Bioenergy and Agriculture – Promises and Challenges, December 2006
BIO 7 International Coffee Organization: Potential alternative uses of coffee wastes and by-products,
August 2005
BIO 8 GTZ: Review of Coffee Waste Water Characteristics and Approaches to Treatment, August
2002
BIO 9 GTZ: Re-use of processing residues can create additional income, April 2003
BIO 10 Information on Briquetting
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

World Bank comments to the draft Rural Energy Policy


THE
WORLD
BANK Avenida dos Direitos Humanos
Dili
Timor-Leste
Antonio S. Frcnco
a&anco@worldbank.org
Country Manager
Telephone(670) 723 0550
Timor-Leste
F a x( 6 7 0 )3 3 21 1 7 E
EastAsia and Pacific

July4, 2008

H.E. Secretaryof Statefor EnergyPolicy


Mr. Avelino Maria Coelho da Silva
Secretariatof Statefor EnergyPolicy
Dili, Timor-Leste

- Subject: Draft Rural Energ! Policyfor Timor-Leste- ll'orld Bank Comments

DearExcellency,

Firstly, I would like to congratulateyou and your team for completing the draft Rural
Energy Policy for Timor-Leste and the public consultationworkshop that was held on May 17,
2008 in Dili. As requested,I am pleasedto provide you with commentsfrom the World Bank
Energy Team which I hope are useful during the processof finalizing the Policy. We would be
happy to further exchangeviews with you and your team through a video or audio conferenceif
you wish so.

Secondly, I am pleased to inform you about the launching of the Energy Sector
ManagementAssistance Progtam (ESMAP)-financed wind measurementTechnical Assistance
(TA). An experthasbeenidentifiedand would be availableto cometo Timor-Lestein the next few
months. Also, we may try to propose additional grant funding from Asia Sustainableand
Altemative Energy Program (ASTAE) for TA in Rural Energy to support the improved stoves
programin Timor-Leste,if the Govemmentso wishesand if no otherdonor is alreadyinvolved.

Pleaseacceptour mostrespectable
complimentsand kind regards.

Sincerely

(;<
AntonioS. Franco

EastAsia and Pacific Region

Enclosed:World Bank Commentson Draft Energy Policy for Timor-Leste.


GoMMENTSON DRAFTRURALENERGYpOLlCy (DATED12 MAy)
Introduction

Not seeing the TOR, it is not possible to comnent on whether the output fu1ly reflects the
study requirements. As is, the document provides a useful inventory of the Government of
Timor-Leste (GOTL) pronouncements on energy matters, issues on energy supplies and
electrification, as well as some detai-ledinformation on current and potential utilization of
renewable energy sources.Although there are some policy recommendations on selected
matters, the document does not really articulate organized policy statements,as suggested
by the title. But there is no question that the document provides very useful inputs to the
articulation of rural energy policy.

Alternative Energy Sources

There is one aspectthat sharply distinguishesTimor-Leste (TL) from similar poor nations; TL
is generating substantialincome from its petroleum resources.This doesnot negatethe need
to devdlop alternatives energy sources. Nevertheless, as the authorities consider the
strateg-iesfor the development of alternative fuels, it is suggestedthat considerationbe given
to the fact that many of the options may be more expensive and less practical than
conventional fuels. Some will require development and commercialization timeframes that
could extend up to a decade, when modern fue1s may be more widely available. For
example, given this situation, one may not want to develop a long term investment plan for
establishing latropha plantahons, building extraction and refining plants, and establishing
distribution centersfor biodiesel for use in transport or electricity generation.Such a large-
scale program for biodiesel development was not advised by report (which orLlymentioned
it as worth studying for small-scale decenhalized electricity generation) but is only being
cited here to illustrate the point.

The promotion of renewableenergy alternativesin the meantime is a good national strategy.


The possibilities for TL are wide open becauseit is endowed with all kinds of resources.The
main elements to keep in mind are cost and practicality. Even when the electricity
infrastructure in TL is fu11ydeveloped in the future, economic or nearly economicrenewable
energy alternativeswould still be worth developing, such as hydro and wind power plalts
that take advantage of available, clean energy resources.Technologies such as solar water
heating, parlicularly for commercial establishments,would also be still worth pursuing
becauseof its load reduction and energy efficiency value. Technologiesfor remote, offgrid
applications, such as solar horne systems,will stil1make sense.It would seem,however, that
for a country with a very small land area and where most parts appear to be accessible,the
total potential for offgrid applications will not be as high as in typical developing countries
and so some care must be exercisedwhen determining where (and what leve1of) resources
for rural energy development need to be allocated.

Biogas (frorn animal wastes) appears to have a strong emphasis in the GOTL rural
development plans, and the main idea appears to be the promotion of backyard biogas
digesters for households,mainly for cooking fuel needs. Such domestic systemshave been
successfully promoted in South Asian countries, China and others where there is strong
cultural familiarity with every day use of animal dung. It has been a lot less successfulin
Pacific Island countries, as shown by various past studies. As mentioned in the report, the
rnajority of householdsin TL own less than 5 cattle, the minimum needed for the fuel needs
of a typical household; this already highlights the very limited application of the technology
for the intended beneficiaries.The decision to start the program with householdsowning 5
or more cattle may address the technical requirements but would raise questions on
targeting of subsidiesbecausefamilies who own more than 5 cattle are like1y to be the most
affluent ones. For this and other reasons, including lessons from experience in other
countries, it may more advisable to support energy production from arrirnal wastes only in
large-scalelivestock farms, where wastes are easierto collect, and where economy of scale
could be achieved.The biogas produced could be converted to electricity and fed to the main
grid, or fed to an isolated minigrid; or the energy used for local communal productive
applications in the farrn s vicinity. The scale of operation will make it possible to assign
dedicated technlcal personnel that could troubleshoot operational problems and keep the
plant functioning. Such problems have been the main reason why rnany backyard biogas
digestersbuilt in other Pacific Island countries were prematurely abandoned.

Ultimately, the area that deserves the main attention of rural energy plalners are issues
associatedwith forestry and the use of fuelwood. With over 90% of total primary energy
consumption being accountedfor by the use of fuelwood in cooking, it is hard to find any
alternative fuel that could make a dent into this consumption pattern. Fortunately, as found
by the recent World Bank scoping study on household energy, biomass supplies in TL are
still fairly abundant. With proper forest managementand effective demand side measures,
wood can be a sustainablefuel not only for householdsbut also for small rural industries

The report's recommendationsto support reforestation,establishmentof wood plantations m


critical areasand large-scaledissemination of irnproved stoves are thus well-placed. These
are consistent with the analysis and recommendations made by the World Bar* scoping
study. o IrLparticular, the launching of an improved stoves progaam would appear to be an
effort that is not compiicated to do and would have modest costs compared to the high
potential for saving fuelwood and forests, as well as reducing health impacts of indoor air
pollution. The key is to design a program of sufficient critical mass with opportunities for
some cost recovery from users, to stimulate private production of improved stoves and
improve the chancesof sustairability.

Fuel Subsidy

The report recomrnendsconsideration of a subsidy for LPG and keroseneover a maximum


period of 5 years to reduce pressureon wood resources.\\4ri1ethe intention is not debatable,
it may be useful to consider potential adverse results of such a fuel subsidy. The main
beneficiariesof the subsidy will be the few, affluent households who are now using these
modern fuels, as well as other relatively aJfluentones who are still not using them but could
quickly shift because they are near distribution centers (mairLly urban). Based on WB
experiencein other countries, it may be better to use the subsidies to "improve access"by
poor households. This means, for example, persuading/subsidizing suppliers to market
smaller cylinders (sincemany poor householdscannot afford to pay for the contentsof a full
cylinder per purchase);subsidizing establishmentand operation of rural distribution centers;
and providing subsidiesfor cylinder deposit and the purchaseof new stoves. It is suggested
that a study be commissioned to design a targeted and effective subsidy mechanism for
modern fuels in TL
Institutionalsettingand regulation
REA
The draft report proposes the establishment of Rural Energy Agency (REA) "as a public
institution with administrative, managerial, technical and financial autonomy to channel
Government and donor grants and technical assistanceto the private sector and rural
communities for the implementation of projects that provide accessto modern and efficient
energy servicesin the rural community." This approach may well be seen as best practice
but is it the right practicefor Timor-Leste? Key queslions are:

1. How well doesit fit with the capacity constraintsin Timor-Leste?


2. What is the plaruring role of this body and how would it coordinate with other
entities such as EdTL/MHI, the Utility Board and the Ministry?
3. How feasible is the rnodel of strong autonomy for a body that will play a role that is
politically very important?

The consultant (Norplan) report (entitled Timor-Leste: Strengthening the institutional


framer,r'ork and capacities rn the power sector, dated October 2006) on the rural
electrification strategy recommended"a dedicated rnstitution or department responsiblefor
rural electri{ication." It was to be guided by the Government's policy on rural electrification
and ait would be responsiblefor "planning and setting the stagefor implementation. ... A
clear RE plan based on transparentcriteria . .. are paramount .. . Equally important is that the
department or institution need to have autonomy to avoid political interference." The
proposed REA would essentiallyfill the role envisagedin the Norplan report.

Consistencywith resourceconstraints
The limited resourcesand expertisewithin the pubJic sectoris one of the key constraintsrn
Timor-Leste. There is a risk that the establishmentof a separateentity may further fragment
and dilute the available capacity. This was recognisedin the report on the NorPlan report on
instituhonal arrangementsfor the sectorthat deferred the establishmento{ a sectorregulator.
It is not clear where the resourcesfor the unit would come from. The report addressesthe
issue of funding of the REA - which in Timor-Leste is not the primary constraint - but not
where it would get its staff.

Previous visits have indicated that the Ministry has few resourcesavailable to it. The recent
expansion in capacity has come through the appoinlment of MHI and will be augmentedby
the appointment of the Utility Board and its advisors. But ii is not clear whether/how the
proposed REA would tap into these resources. If a separateREA is to be establishedit is
likely to need external support and expertiseinitially and a comnitment to building up 1oca1
capacity.

Planning role and coordination with MHI/EdTL


Sincethe Norplan report:
1. MHI have been engagedas the managementconhactor for EdTL and have shown an
enthusiasm and capacity to take on a broader supporting role for electricity planning
and development. In its corporate plan submitted to the MOI in November 2007,
MHI have proposed the establishment of tr'vo units a system planrring unit and an
outside Dili electrificationunit that would be supported by MHI/EdTL.
2. Funding has been provided under the IDA-financed Energy Services Delivery
Proiect for ensasement of a technical and a financial advisor to the EdTL Board
which will supervise the managementcontract and provide sectoradvice.

NorPlan prepared a Rural Electrification Master Plan that developed proposed criteria and
proposed trials for rural electriJicahon. But it is clear that this would need to be further
developed and in a sense planning for rural electrification is an ongoing process. The
proposed role for the REA is to facilitate the implementation of the plan. l,Vhat is not clear
from the draft report who will be responsiblefor the continued development,review and up-
dating of a rural electrification plan.

It may be desirable,in terms of coordination and the most effectiveuse of the available use of
resources,to make use of the expertise available in MHI alrd the advisors to the Utility
Board. The structuresproposed for the planning unit and the outside Dili electrification unit
(which is intended to focus on rehabilitating existing systemsoutside Dili) could provide a
suitablemodel. This would make better use of the available resources,improve coordination
and reducefragmentation. There are potential concernsof a conJlictof interest and that MHI
may 'squeeze'out potential private interest. But in the current environment in Timor-Leste
these concerns may be more theoretical than practical. Vanuatu may provide a useful
precedent.The incumbent electricity supply in Port Vila in Vanuatu is working with the
Government on the development of an electri-ficationstrategy. It indicated that it does not
wish to have a long term role in small-scalerenewable electrificationbut it is happy to work
with the government to develop a plan and facilitate its ro1l-out.

Feasibility of increased autonomy


In practice the autonomy sought for the REA may be difficult to achieve. EdTL/MHI was
also to be given greater autonomy under the management contract but this is provtng
difficult to achieve.

ln other circumstancesthe recommendedapproach would be very sound. However, given


the concernsin regard to the resourcesavai-lable,the coordination with sirnilar urLitsand the
prospects for achieving autonomy, alternative institutional arrangements could be
considered. One option would be to use the units proposed bv MHI on systemplarming and
electrificationoutside Dili or establisha urLitalong simrlar lines tapping into the resourceof
MHi and the advisors to the Utilitv Board.

The roles and functions outlined for the REA on p27 appear to be quite sound.

arrangements
Regulatory
In para 79 the report mentions that the GoTL will need to improve and strengthen the
regulatory arrangements,but it does not indicate what the current problems are and how
they can be remedied. It would be helpful if this could be clarified.

There are a number of bases upon which funding/bidding for new areas could be
undertaken. It could be on a lowest grosscost basis (exclusiveof revenues)or a net subsidy
required basis. The latter is more common but requires a price path and this may be one of
the regulatory issues that the report has in rnind. Using this as an example, one option
would be to set the price and lock it in through the contract or concessiondocuments. This
could be speci{ic to a particular area with prices varying between Dili and rural areas and
even between rural areas. There are arguments from the point of view of efficiency and
financial viability that rural electricitv chargesshould be higher than the chargesrn Dili due
to the higher costs. This is a significant issue for determination by Govemment but setting
the price and locking it in through a contract does not require the establishment of a
regulatory agency. This is an an important point. It is often assumed that a regulator ts
required but as the NorPlan report indicated, establishinga regulatory agency should not be
a high priority at this point in time given the lirnited resourcesavailable.

Otherlssues
P7, para 9 - in this para and elsewhere in the report endorses a strong preference for
indigenous sourcesof energy, especiallyrenewablc energy but does not appear to consider
the costsinvolved. What is the decision point where environmental and community benefits
do not outweigh the additional cost of locai renewable resources? This para is iust an
example of a broader concern that the report does not give due regard for to the potential
cost premium for these solutions and recognise that a more balanced approach may see
electrification of a large number of Sucosoccurring through connection to the grid or local
netvvorks and the use of conventional generators- at least this is the indication from the
Norplan report on rural electrification.

P7 para 10 - should principle be to "base all decision on multi-stakeholder dialogues" or


"have regard to view expressedthrough multi-stakeholder dialogues"?

P12 14 - The major challenge,as in the case of other countries,is not so much the
pronouncementof guiding principles that are generally sound in the draft paper for rural and
renewableenergydevelopment,BUT HOW to implementefficientlyand effectivelythe good
intentionsof the govemment. Thus, it is recommendedthat the realism of the timeline for
achieving some of the specific objectivesand targetscited in the draft report (e.g. 100%
to avoid unrealisticexpectations.
electrihcationetc.)be reassessed

Pl3 the report cited the following objective:"substituteall existingrural dieselgenerators


by hydropower by 2013 and thereby cut down excessiveoperational costs..." It is
recommended Indeed,the recentgovemment
that the realismof this objectivebe reassessed.
invitation for expression of interestto build two thermal(heavy fuel oil) power plants(150-
200MW) and nationalpower grid in the shortterm is not consistentwith the statedpolicy in
the report to promote renewableenergy as the above large thermal power plants will obviate
the need for Iralaro and other renewableenergyfor porver generation.

P21. para 62 - While the feasibility study for Iralaro carried out an installed caPacity
optimizahon, it did not athibute any peaking value to capacity. It also did not consider the
possibility of making provisions in the first stage for a later capacrtyaddition. A third unit
could increaseenergy generationfrom 190 to 230 GWh (when the system is large enough to
absorbit).
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

List of People and Institutions contacted during the Consultation


Process
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

 
Mr. Avelino Coelho da Silva  Mr. Januario da Costa Pereira 
Secretary of State for Energy Policy  Secretary of State for Electricity, Water and 
Urbanization, Ministry of Infrastructure 

Mr. Papito Monteiro  Mr. Abilio de Deus de Jesus Lima 
Secretary of State for Rural Development and  Secretary of State for Environment 
Cooperatives, Ministry of Economy and   
Development 
 
Mr. Vergilio Guterres  Mr. Valentino Varela 
Permanent Secretary for EDTL  Secretary of State for Livestock, Ministry of 
Agriculture 
Mr. Joao M. Saldanha  Mr. Nick Beresford 
MCC‐Point of Contact, Ministry of Finance  UNDP‐TL, Deputy Country Director (Operations) 
   
Mr. Pradeep Sharma  Ms. Sarina Kilham 
UNDP‐TL, Head of Poverty Reduction and  Project Manager, UNDESA‐TL 
Environment Unit    
Mr. Rui Gomes  Ms. Jenny Asman 
Policy Advisor, Pro‐Poor Policy, Focal point for  Advisor for Director of Budget, Ministerio de 
MDGs & NHDRs, UNDP Environment Section  Financas 
   
Mr. Miguel Lobato  Mr. Mario Nunes 
Director Direcao Nacional do Turismo,  National Director of Forestry, Ministerio de 
Ministerio do Desenvolvimento  Agricultura 
   
Mr. Óscar Lima  Mr. Agusto Pereira de Araujo 
Representative, Entrepreneurship in Dili  Subdistrict Administrator, Liquisa District, 
  Subdistrict Bazartete 
 
Mr. Shinobu Yamaguchi  Ms. Maiko Shimizu 
First Secretary, Embassy of Japan, Timor‐Leste  Researcher (Economic and Political Affairs), 
  Embassy of Japan, Timor‐Leste 
 
Mr. Charles Andrews  Mr. Kamijo Tetsuya 
Country Director of Asia Development Bank  Resident Representative, Japan International 
(ADB), Timor‐Leste  Cooperation Agency (JICA) 
   
Mr. Dorvin E. Stockdale  Ms. Robin Scott‐Charlton, 
Team Leader‐Economy Growth Program,  Counsellor Development Cooperation   
USAID, Timor‐Leste  AUS‐AID, Timor‐Leste 
   
Mr. Kassius Klei Ximenes  Mr. Egil Skofteland 
Counterpart of Hydropower project,   Project Director, International Section 
Hydro Timor, Dili  Norwegian Water Resources and Energy 
  Directorate 
 
Mr. Orlando Sarmento  Mr. Demitrio do Amaral de Carvalho  
Deputy Director,Caritas Diocesana Dili  Director Haburas Foundation, Dili 
   
Mr. Johanes Usboko  Mr. Kim Tchia 
Assistant Director of Universidade Nacional  Owner of Startec Enterprises, Dili 
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Timor‐Leste (UNTL)   
   
Mr. Antonio Ribeiro  Mr. Jose do Santos Bareto 
Chefe do Suco Cameia, Dili  Chefe do Suco Lau‐Hata, Liquisa District 
   
Mr. Joao de Jesus Monteiro  Ms. Maria Laidia de Jesus Belo 
Chefe do Suco Railako Kraik, Ermera District,  Chefe do Suco Gariuai, Baucau District  
Subdistrict Railako   
 
Mr. Francisco Arao de Sousa  Mr. Domingos Sorares 
Chefe do Aldeia Fatuk Laran, Manatuto District,  Chefe do Suco Manleu, Metinaro 
Suco Cairui    
 
Mr. Acacio de Araujo  Mr. Paulo da Silva 
Chefe do Suco Maquile, Subdistrict Atauro,  National Renewable Energy Professional, 
Aldeia Fatu Lela  UNDESA 
   
Mr. Aires Eddie de Almeida  Mr. Jaime Freitas  
UNDP Technician (Biogas)  Stove technician, Metinaro, Dili 
 
Mr. Oscar da Silva  Ms. Evelina Monteiro Lopes 
Community Development, UNDESA  Local community, Subdistrict Maubara, Gicu 
   
Ms. Cristina Ribeiro and Ms. Ceyorinya Gutteres  Mr. Camilo Luis da Costa 
Local community, Metiaut, Dili  Local community, Manatuto District, Suco Cairui,  
  Aldeia No 1 
 
Mr. Jose de Jesus da Silva  Mr. Carlos Boromeo de Araujo 
Local community, Suco Laulara, Aldeia Borlete  Local Community, Subdistrict Atauro, Suco 
  Maquile, Aldeia Fatu Lela 
 
Mr. Faustino Bianco  Mr. Herman Klau Taek / Operator    
Local community, Ainaro District, Subdistrict  Suai District, Suco Beco 
Hatuudo, Suco Leolima   
 
Mr. Moises do Carmo  Mr. Roke Viegas de Souse and Mr. Lopes Fatima 
Local Community, Sub district Atauro, Suco  Simoes 
Maquile, Aldeia Fatu Lela  Local Technicians, Manatuto District, Suco 
  Cairui, Aldeia Hatukarau  
 
Mr. Carlito Mendosa and Mr. Joao de Jesus  Mr. Anastacio Magno Moniz 
Local technicians (operators), Subdistrict  Local technician, Suai District, Sub Zumalai, 
Remexio, Suco Asmao  Mape 
   
Mr. Rainer Venghaus  Mr. Desmond Murphy 
Country Coordinator, International Finance  Director General, Manitoba Hydro International 
Corporation (IFC), Timor‐Leste  Ltd. / EDTL 
Mr. Sergio M. do Espirito Santo  Dr. Günter Kohl 
General Manager, Instituticao de Microfinancas  German Agency for Technical Cooperation 
de Timor Leste  (GTZ), Timor‐Leste 
Mr. Didier Francisco  Mr. John A.C. Steel, Projekt Management 
Head of Mission, Triangle  Advisor, Ministério da Agricultura, Florestas e 
Pescas 
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Mr. Deolindo da Silva, jr.  Mr. Joao Gomes 
National Director, Directorate of Agriculture and  Operations Officer EACDF, World Bank Timor‐
Livestock  Leste 
Mr. Des McGarry  Shane McCarthy  
Land and Environment Specialist  Cooperative Agribusiness Advisor, USAID East 
Queensland Government – Natural Resources  Timor 
and Water 
Anton Vikstrom  Alf V. Adeler 
Project Manager International Projects Group  Senior Advisor, Norwegian Water Resources and 
ATA – Alternative Technology Association  Energy Directorate 
Ms. Hiroko Takagi   
Country Director (Programme), UNDP Timor‐
Leste 
 
 
 
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

1. Workshop, 3 March 2008


Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

AGENDA DO WORKSHOP
FORMULAÇÃO DA POLÍTICA ENERGÉTICA RURAL

Salão de Conferência do Hotel Elizabeth


(antigo Hotel Díli 2000), Díli
3 de Março de 2008

TEMPO APRESENTAÇÕES ORADORES

09:00 - 09:10 Abertura do Workshop Sr. Avelino Coelho da Silva, Secretario


do Estado da Política Energética
09:10 – 09:25 Desafios e Perspectivas da Política Sr. Avelino Coelho da Silva, Secretario
Energética de Timor-Leste (TL) do Estado da Política Energética
09:25 – 09:45 Situação actual da Energia em TL Sr. Detlef Loy, Consultant for UNDP
09:45 – 10:00 Experiência sobre o uzo de fogões Sr. Perdo Sarmento, UNDP
para eficiência de energia
10:00 – 10:20 Experiências sobre Painéis Solares Sr. Kim Tchia, Startec Enterprises
10:20 – 10:40 Perspectivas sobre a electrificação Sr. Vergilio Guterres, Permanent
rural e linhas de distribuição nas Secretary for EDTL
áreas isoladas

10:40 – 11:00 Pausa para Café


11:00 – 11:20 Experiências sobre lanternas Solares Sr. Paulo da Silva, UNDESA
e Painéis Solares para Bombas de
água. Caminho para o futuro ?
11:20 – 11:40 Experiências sobre uzo de Biogas de Sr. Aires Eddie de Almeida
pequena escala nas comunidades em
áreas remotas
11:40 – 12:00 Uzo de biogas (sistema cooperative) Sr. Filisberto Bere, Movimento
para a produção de electricidade Coperativa Agricula
12:00 – 12:20 Experiências sobre o uzo de “Gas S Sr. Vergilio Gutteres, Permanent
seep” em Timor-Leste Secretary for EDTL
12:20 – 13:30 Almoço
13:30 – 13:50 Uzo de recursos hídricos para a Sr. Kassius Klei Ximenes, Secretariat of
produção de energia eléctrica State for Power, Water and Urbanisation
(Hydro Power Counter Part):

13:50 – 14:10 Experiências sobre os projetos de Sr. Shane McCarthy, Cooperatives


reflorestação, possibilidade do uzo Agribusiness Association (NCBA,
de “coffee pulp” para biogas CCT),

14:10 – 14:30 Projectos de Energia Alternativa. Sr. Marcos Santos, Director General,
Secretariat of State for Energy Policy:
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

14:30 – 15:00 Proposta da Política de Energia Sr. Detlef Loy, PREDP/UNDP


Rural para TL Consultant:

15:00 – 15:15 Pausa para Café


15:15 – 16:10 Discussões em Groupo Sr. Lino Correia, PREDP/UNDP
Consultant
16:10 – 16:30 Apresentações por representantes de
cada Grupo
16:30 – 17:00 Resultados principais do Workshop Sr. Marcos Santos
17:00 - final Conclusão do Workshop e Sr. Avelino Coelho da Silva, Secretario
Encerramento do Estado da Política Energética

The event will be moderated by Sr. Marcos Santos and Lino Correia.
Participatory Rural Energy Development
Programme (PREDP) / Thematic Trust Fund
(TTF)

Status of the Energy Situation


in Timor-Leste

Detlef Loy, Germany


UNDP Consultant
dloy@freenet.de
D. Loy, March 2008

Dili, March 3, 2008

PREDP / TTF
Energy Situation in Timor-Leste

Fundamental data (1)


Population of TL appr. 1,050,000

Population growth 3.4 %/a
►1.5 – 1.6m expected by 2020

Rural and semi-urban
Population appr. 900,000

Total Households appr. 185,000
► 265,000 expected by 2020
D. Loy, March 2008


Rural and semi-urban
Households, today appr. 160,000
PREDP / TTF
Energy Situation in Timor-Leste

Fundamental data (2)


Districts 13, Subdistricts 64, Sucos 442

Schools > 750

Health Centres ???

Forest area 853,000 ha
► 57% of total land area (figure controversial)

Deforestation rate -1.2% per year
D. Loy, March 2008

PREDP / TTF
Energy Situation in Timor-Leste

Energy Data

No energy balance available (consumption of
kerosene, electricity, diesel, LPG, fuelwood...)

Biomass potential largely unknown (in particular
agricultural residues, such as rice husks and coffee
pulp, rice straw) as well as oil plant potential (e.g.
coconut oil, see experience from Fiji Islands)

Hydropower potential insufficiently mapped and
measured

Current status of deployment and operating
D. Loy, March 2008

conditions of solar electric systems not fully


monitored
PREDP / TTF
Energy Situation in Timor-Leste

Energy Status – General (1)


High cost for conventional fossil fuels
(kerosene) for lighting and cooking, no subsidies

Low access to modern fuels, such as bottled
LPG (also high costs involved, no subsidies)

Most of the energy demand for cooking-related
activities

Most electricity consumption (Dili) coming from
D. Loy, March 2008

the commercial sector

PREDP / TTF
Energy Situation in Timor-Leste

Energy Status – General (2)


Very high subsidies for the electricity sector
(estimated $24 million per year, almost equal to
expected non-oil revenues in 2008 = $27m)

Non-payment for electricity service is critical
(higher cost coverage of EDTL would release
budgets for energy services in rural areas)

Transport energy of minor importance
D. Loy, March 2008
PREDP / TTF
Energy Situation in Timor-Leste

High dependence on non- sustainable


Biomass (1)

Probably more than 90% of all energy demand is


being covered by biomass (fuelwood) – mainly for
cooking, baking, water heating
Biomass importance has even increased in recent
years due to high prices for kerosene and non-
payment for the extraction of firewood, with also
urban households switching to cheaper fuelwood
(regulation on fuelwood handling and sale is not
D. Loy, March 2008

enforced).

PREDP / TTF
Energy Situation in Timor-Leste

High dependence on non- sustainable


Biomass (2)


Forest reserves are depleting at an accelerating
rate with all consequences (soil erosion,
diminished water catching etc.)

Low-efficient stoves and ovens contribute
significantly to high fuelwood consumption

Immense work load, in particular carried by
children and women for collection of fuelwood;
D. Loy, March 2008

health risks
PREDP / TTF
Energy Situation in Timor-Leste

Electrification (1)

Very low electrification rate (about 80% in Dili,
about 10% outside of Dili, in many rural areas no
electricity at all)

In total, probably less than 40.000 households served
with electricity for some time during the week (no
complete registry of EDTL available!)

Up to 145.000 households have no grid-based
electricity, number of individual solar systems marginal

Only customers in Dili and Baucau have 24 hours
service (although with some outages)
D. Loy, March 2008


Only in 54 sucos all aldeias are electrified – 272 sucos
have no electricity at all

PREDP / TTF
Energy Situation in Timor-Leste

Energy Status – Electrification (2)



58 isolated systems, but not all operational, in
some cases no distribution lines and low connection rate

Electricity demand is very low in rural areas (mainly for
lighting and communication, not more than 25 kWh per
month)

An estimated 40.000-50.000 new customers could be
served from local grids based on hydropower

An estimated 60,000 households (today !) in about 100
sucos cannot be served by any grid (excessive costs
compared to expected demand, very dispersed population,
no cheap hydropower or other local resources available)
D. Loy, March 2008


Very low level of energy/electricity use/access for
productive purposes
PREDP / TTF
Energy Situation in Timor-Leste

Potential sources for mechanical


energy and electricity generation (1)


Diesel Fuel (imported, high costs, low efficiency)
1 litre = 10 kWh = $1,
with eff. = 30%: ► 1 kWhel = $0.30 only for fuel!

Gas Seeps (about 30 sites identified, but not all suitable for
electrification due to their remoteness)

Hydro (Ira Lalaro and several rivers/streams for mini- and micro-
hydropower plants)

Solar (small systems for isolated areas)
D. Loy, March 2008

PREDP / TTF
Energy Situation in Timor-Leste

Potential sources for mechanical


energy and electricity generation (2)


Solid biomass (probably currently not sufficient resources for
electricity, agricultural residues very dispersed and seasonal,
amount of organic domestic waste low, energy plantations??)

Liquid biomass (biofuels): No experience so far in TL, will need
in-depth research and know-how transfer, possible use in
stationary engines for mechanical power before electricity
production (preferably as raw plant oil, not as biodiesel)

Wind (probably only sufficient medium wind in higher altitudes,
but road conditions are major obstacle for transport of turbine
components; reliable nearby MV grid required; small stand-alone
D. Loy, March 2008

wind generators have high specific costs and are not


maintenance free )
PREDP / TTF
Energy Situation in Timor-Leste

Small-scale Solar Electricity Projects



Several hundred Solar Home Systems (50W) installed
during Indonesian time (1996/97)

470 Solar lanterns and 14 school and institutional systems and one
solar water pump supported by UNDESA

125 SHS supported by UNDP in 2006/07

Almost all suco centers equipped with solar systems for operation of
TV/DVD (Ministry of State Administration)

Alternative Technology Association (ATA) / Australia (NGO) has
implemented a number of solar systems for institutions and is
currently testing different solar lighting schemes

Other NGOs have donated several hundred SHS and solar water
D. Loy, March 2008

pumps

Donor-supported PV systems on Public Health Centres

PREDP / TTF
Energy Situation in Timor-Leste

Small-scale Solar Electricity Projects


D. Loy, March 2008
PREDP / TTF
Energy Situation in Timor-Leste

Other small-scale RE Projects



Hydropower Gariuai/Baucau (donation by Norway, to be
commissioned in September 2008)

Hydropower Mau Nuno/Ainaro (design phase starting in
2008, with support of GoTL and UNDP)

7 UNDP Biogas plants for cooking and lighting
implemented in Manatuto and Ainaro, another 24 to be
completed

Biogas plant for lighting by Caritas in Guiçu

Biogas plant for electricity generation near Suai (GoTL)
170 energy-efficient stoves realised by UNDP in sucos
D. Loy, March 2008

Meti-Aut and Cameia (Dili)



Some institutions use solar collectors for water-heating

PREDP / TTF
Energy Situation in Timor-Leste

Other small-scale RE Projects


D. Loy, March 2008
PREDP / TTF
Energy Situation in Timor-Leste

Main References


World Bank, Rural Electrification Master Plan,
October 2007

World Bank, Study on Household/Biomass
Energy, 2007

GoTL, Power Sector Investment Plan, 2006

ADB, Power Sector Development Plan, 2003
D. Loy, March 2008

Participatory Rural Energy Development


Programme (PREDP) / Thematic Trust Fund
(TTF)

Proposals for the Rural Energy Policy of


Timor-Leste

Detlef Loy, Germany


UNDP Consultant
dloy@freenet.de
D. Loy, March 2008

Dili, March 3, 2008


PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Fuelwood sector

Large-scale programme on development and de-
ployment of energy-efficient stoves and ovens
needs to be established – preferably with international
technical and financial assistance

Goal has to be the introduction of cheap stoves, made of
local material and with manual labour input by users

Such programme should be aligned with measures in
reforestation and controlled cutting of trees

GoTL should consider subsidizing of LPG (and
kerosene ?)over a determined period of time to prevent
further use of fuelwood in urban areas
D. Loy, March 2008


At the same time, measures need to be taken in order to
increase the price of fuelwood (GoTL controlled price
regime, taxation of dealers?)

PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Energy-efficient stoves in Uganda


D. Loy, March 2008

Photos:
D. Loy, Nov. 2007
PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Electricity Sector
Objectives and Essentials (1)


Target for Sector Investment Programme: 80% of the
population should have electricity by 2025

But: “Having electricity“ is a very broad term: running only
lights (basic electricity) or also other appliances that need
more capacity?

Electricity should improve quality of life and contribute to
income generation

Electricity service needs to be adapted to the local
demand/requirements and purchasing power of the
D. Loy, March 2008

population (general solutions will not work).

PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Electricity Sector
Objectives and Essentials (2)


Decentral systems are best suited for small loads, while
central systems are beneficial for larger congestion areas
with higher density of demand (transporting electricity is
expensive).

Decentral systems do not need long lead times for planning
and implementation, but should keep a low technical profile
as to avoid high risk of failures (only proven and reliable
technologies should be used).
D. Loy, March 2008
PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Small-scale Solar Electricity –


Technical Options


Central systems for recharging batteries (e.g. on suco
centers) – only small loads possible; could be operated as
a business

Fixed household installations for lighting and other
purposes (different sizes for different demands)

Mobile solar lanterns (different types for different quality of
light)

More challenging power consumptions (as for cooling,
communication) should be concentrated in central locations
D. Loy, March 2008

(suco and health centers, schools, etc.)


Photo: ATA

PREDP / TTF
Energy Situation in Timor-Leste

Small-scale Solar Electricity -


Considerations (1)

Systems should match with requirements and purchasing
power of users! There is not one solution that will satisfy
everybody!

Costs have to be minimized, so that subsidies can be kept
low.

Solar electricity needs to be limited to such demand that
cannot be served equally or better and more cost-efficient
by other energy sources (e.g. it should not be used for
machinery under current conditions)
D. Loy, March 2008


It is expected that prices for solar panels will drop
significantly in the next years, but prices for batteries will
remain high or could even increase.
PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Small-scale Solar Electricity –


Considerations (2)


Existing projects show lack of coordination, low level of
sustainability, maintenance often neglected

Small projects (in number of installations) with dispersed
localities of intervention lead to high transaction (selection,
preparation, shipment, travel, installation, etc.) and
maintenance costs

Govt. and donor initiatives should concentrate their efforts
on regions that will not be electrified by other sources (in
particular hydro) within the next 10-20 years
D. Loy, March 2008

PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Small-scale Solar Electricity –


Considerations (3)


Subsidy provided should be in balance with subsidies given
for grid-based electricity

Contributions by the customers have to reflect alternative
costs for kerosene and candles as well as quality of power
service.

NGO needed in particular for training measures and
implementation of „institutional structures“ at village level.

Support by international initiatives/sponsors should
D. Loy, March 2008

concentrate on individual systems for institutions (schools;


health centres) and water pumping
PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

„Solar Lighting Programme“ (1)


Government-initiated programme with funding support
from international donors (e.g. Global Environment
Facility)

Basic system (e.g. 10W panel for 1-2 lights) will be
donated by the Government – cost about $200

Every customer is free to order larger system, but has
to carry costs for extras

Customers have to pay for light bulbs

For maintenance (mainly battery replacement) monthly
D. Loy, March 2008

fee is being collected on the community level


(depending on the size of the system, with minimum of
$1.50-2.00), but paid into individual „saving“ accounts
(could also be taken over by micro-finance institutions)

PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

„Solar Lighting Programme“ (2)


GoTL goal: 60.000 systems installed in six years;
approx. annual budget of $ 2 million
(Sri Lanka has supported 94.000 systems in 5 years)

GoTL will set up autonomous Rural Electrification
Agency (REA, with existing staff) and concentrate on
clustered areas (no grid-electricity expected)

REA will handle the programme with assistance from
the private sector (REA should set guidelines, promote
the programme, check applications from communities,
D. Loy, March 2008

organize bulk purchasing, etc., but leave as much


initiative as possible to the private sector)
PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

„Solar Lighting Programme“ (3)


Regional branches of REA will monitor the installation
and maintenance process and keep track on every
individual system

GoTL will provide incentives for private sector
(retailers, workshops) to open up regional branches

GoTL will set the foundation by improving the
qualification on all levels (in particular among
technicians)

GoTL may consider awards for highly successful
D. Loy, March 2008

communities

PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Isolated Grids operated with


diesel generators (1)


Existing diesel generators should be made operational;
grid rehabilitation should take place wherever such
system will be maintained over the long term (either as
isolated system or as part of the national network)

Will require substantial operational subsidies for
purchase of fuel and maintenance (cost per kWh more
than $0.30, not including investment)

Subsidies should be phased out within the next 5-10
years by replacing diesel gensets by other supply
D. Loy, March 2008

options (hydro/solar)
PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Isolated Grids operated with


diesel generators (2)

Current tariff needs to be raised (minimum of
$2.25 per month is not sufficient) and linked to actual
consumption (e.g. number of lights); rates should also
reflect the standards of service compared to urban
areas.

Use/import of incandescent light bulbs should be
prohibited (generally!), consumption should be limited
to essential needs (average not more than 25 kWh per
household) in order to limit subsidies

Households will only get limited service (basically
D. Loy, March 2008

lighting); electricity should in first place serve


economic activities to raise income and social
institutions

PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Biogas production and use (1)


Should preferably be used for cooking (lamps have
very low efficiency)

Needs an estimated 5 cattle per household to
satisfy cooking needs

Only efficient if cattle are kept in stables

Cooperative keeping of cattle makes distribution of
gas relatively difficult (low gas pressure for longer
distances)
D. Loy, March 2008


Large potential for combination of stables with
institutional stoves (e.g. in schools)
PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Biogas production and use (2)


Technology needs to be further improved and
knowledge disseminated

Use of biogas for electricity generation in rural
areas is not recommended (needs considerable
maintenance, efficiency is low)

Essential components can be manufactured locally
(e.g. movable domes for biogas tank)

Users should contribute at least with labour force
as they will benefit from reduced work load
D. Loy, March 2008

afterwards (no collection of firewood needed) – no


100% donation!

PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Biofuels

Only limited experiences with Jatropha in developing
countries so far, showing mixed results

Biofuel production is not per se ecological and
economical

Intensive investigation and pre-feasibility research
necessary, high risk of failure if not carefully designed;
high impact on social and ecological structures, if
implemented as agro-business

Biofuel plants should preferably grow on deserted or
degraded land, as to avoid competition with food
production; Jatropha is preferably planted on a small
D. Loy, March 2008

scale, e.g. for hedges.



High involvement of rural population required to set up
full production chain; local use of raw plant oil for
productive purposes should be given preference
PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

General Requirements

Mapping of hydropower and biomass resources

Improved incorporation of energy subjects into the
academic and vocational curricula

Reduction or removal of import and sales taxes for all
(rural/renewable) energy equipment

Ban on import of incandescent light bulbs ! (Australia
has proposed it first, Ireland will start in 2009)

Better coordination among Ministries and Secretariats
of State necessary
D. Loy, March 2008


Awareness raising campaigns for general population
needed

PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Conclusions (1)


Energy-efficient use of fuelwood has to be given top
priority in combination with reforestation measures
and control of fuelwood business

Diesel fuel based electricity production will remain
bound to high subsidies

It will not be possible to serve the whole country with
the same quality of electricity in the medium term

Rural Electrification Master Plan should be
implemented; hydropower exploited
D. Loy, March 2008


Suco center solar systems could be used as excellent
showcases for training of local population.
PREDP / TTF
Proposals for the Rural Energy Policy of Timor-Leste

Conclusions (2)

A „Solar Lighting Programme“ should be carried
out improving living conditions in about one third
of all households

High importance should be given to the use of energy
for productive purposes, in particular for food-
processing, manufacturing and small-scale commercial
activities

Under current conditions, financial involvement of the
private sector not to be expected in rural areas

The biofuel issue has various implications and should
be handled with care. More investigation along the
D. Loy, March 2008

complete production chain is needed before entering at


a larger scale

Regulations only to be considered if there is a real need.
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

2nd Workshop, 17 May 2008


REPÚBLICA DEMOCRÁTICA DE TIMOR-LESTE
(RDTL)
GABINETE DO PREMIRO MIISTRO,
SECETARIADO DE ESTADO DA POLÍTICA ENERGÉTICA

Díli, 9 de Maio 2008

Excelentíssimo/a

Senhor/a

Assunto: Convite para o workshop sobre a formulaçaoã da política Energética Nacional

No Ref: 163/G-SEPE/V/2008

O Governo de Timor-Leste através do Secretariado de Estado da Política Energética está


desenvolvido a Política Energética Nacional como pilar posterior formulção do quardo legal que
regularizará todas as actividades da Política Energética.

Dentro deste contexto, Secretariado de Estado da Política Energética em cooperação com o


Prorgrama da Nações Unidas para Desenvolvimento (PNUD) irá efectuar o Workshop sobre a
Política Energética Nacional no dia 17 de Maio de 2008, às 8:00 horas até 12.30, no Restaurante
Atlantic Areia Branca. Deste forma solicita-se V. Ex.cia a participar no referido evento, que é de
grande importância para o sucesso da formulação da Política Energética Nacional do País.

Envia em anexo a Agenda do referido Workshop

Grato pela Vossa atenção e boa cooperação.

Avelino Maria Coelho da Silva


Secretário de Estado da Política Energética
AGENDA DO WORKSHOP
FORMULAÇÃO FINAL DA POLÍTICA ENERGÉTICA NACIONAL
Restaurante Atlantic Areia Branca, Díli
17 de Maio de 2008

TEMPO PROGRAMAS ORADORES

08:00 – 08:30 Chegada dos participantes

08:30 - 08:45 Abertura do Workshop Sr. Avelino Coelho da Silva, Secretário


do Estado da Política Energética

08:45 – 09:00 Energia Rural: Perspectivas do Sra. Hiroko Tagaki, UNDP Country
PNUD Director

09:00 – 09:30 Perspectivas da Política Energética Sr. Avelino Coelho da Silva, Secretário
de Timor-Leste (TL) do Estado da Política Energética

09:30 – 10:15 Proposta Final da Política de Energia Sr. Detlef Loy, PREDP/UNDP
Rural para TL Consultant

10:15 – 10:30 Pausa para Café

10:30 – 12:30
Discussões (Sugestões e Moderado pelo: Sr. Lino Correia,
recomendações) PREDP/UNDP Consultant

12:30 – final Conclusão do Workshop e Sr. Avelino Coelho da Silva, Secretário


Encerramento do Estado da Política Energética
Almoço
Republica Democratica de Timor-Leste
Secretaria de Estado da Politica Energetica

Lista dos Participantes para Workshop


17 de Maio de 2008

DEPARTMENT
HI# OF INFR~R~qm
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f/NJ)r

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IrnfQ.h,~ a. "'-'11 - C\) !VI


Participatory Rural Energy Development
Programme (PREDP) / Thematic Trust Fund
(TTF)

Rural Energy Policy for Timor-Leste


Public Consultation

Detlef Loy, Germany


UNDP Consultant
dloy@freenet.de

Dili, May 17, 2008


PREDP / TTF
Rural Energy Policy for Timor-Leste

Challenges (1)

Currently about 185,000 households without any
electricity supply (electrification rate below 20%)

Number of unelectrified households could even rise
due to population growth

Total number of rural households about 256,000 in
2020, of which roughly 90,000 cannot be
approached by any grid electricity (more than 1/3 of
all rural households !)

High costs and deficits in the (diesel-based)
electricity sector (urban and rural) – covered by the
state

Energy use in rural areas very elementary – mainly
in the domestic sector for cooking/lighting, not for
productive purposes
PREDP / TTF
Rural Energy Policy for Timor-Leste

Challenges (2)


Rural electricity consumption (density) in many
regions too low to justify costs for grid-based
electricity

Signs of deforestation today mainly in the closer
vicinity of Dili, but further extension possible with
increased use of fuelwood

Poverty extremely wide-spread (income < 1$ per
day); provision and repayment of micro-credits not
very common

Indigenous gas and oil resources (except gas seeps)
not expected to become accessible before 2020

Education (at all levels) and Research capacities
currently by far not sufficient
PREDP / TTF
Rural Energy Policy for Timor-Leste

Chances

Biogas potential from cattle manure for
cooking/lighting of between 4,600 and 12,000
households

Sufficient small-scale hydropower potential available
that allows for supply of up to 75,000 households by
2020

Solar electricity everywhere suitable for basic
domestic energy needs (lighting/ communication)
and for health/education sectors and water pumping

About 100,000 tonnes per annum of solid biomass
(not tapped and availability unknown)

Some wind potential apparent (at least for low-
capacity turbines)
PREDP / TTF
Rural Energy Policy for Timor-Leste

Major Guiding Principles (1)


Strong active involvement of communities in
decision-making, implementation and operation

Overall dependence from imported fossil fuels
should be decreased (high cost burden for
customers)

Decentral systems should be given preference over
centralized supply systems

Taking advantage of available renewable, local
energy resources

Efficient use of energy is a fundamental prerequisite

Energy provision needs reliance on strong private
sector involvement (market-based approach)
PREDP / TTF
Rural Energy Policy for Timor-Leste

Major Guiding Principles (2)


Technologies have to match with experiences and
capacities of users, operators, service personnel

Government has to use all means to keep
project/system costs as low as possible

Substantial national and international experiences
are available that need to be assessed and could be
the basis for future improvements
PREDP / TTF
Rural Energy Policy for Timor-Leste

Major Targets for 2020


Basic electricity for all households/consumers in TL

Average fuel wood consumption reduced by one third
and total amount of fuel wood kept below level of 2004

Most biogas potentials exploited

All fresh water pumps linked to renewable energy
technologies (unless other low-cost options available)

All schools, health centers, hospitals, suco centers,
police stations .... have reliable electricity service
PREDP / TTF
Rural Energy Policy for Timor-Leste

Other Targets

All rural diesel generators substituted by
hydropower by 2013, wherever possible

Overall subsidies for diesel fuel in electricity
sector cut by at least US$ 2 million per year –
Government spendings for rural energy
increased at the same margin

Future rural electricity supply mainly based on
indigenous renewable energy sources

Strong focus on poverty reduction by enhancing
income generation through provision of energy

Strengthening of education, training and
research regarding energy issues
PREDP / TTF
Rural Energy Policy for Timor-Leste

Some Essentials


Energy is a means/tool and needs to be linked
to other areas of rural development (integrated
approach), such as improvements in agriculture,
small businesses, health, education etc.

State will have to cover most of initial capital
costs (subsidies/grants)

Beneficiaries will contribute as well (payment or
labour) and have to commit to care for
maintenance, repair

Financing schemes through microcredits
currently not well developed
PREDP / TTF
Rural Energy Policy for Timor-Leste

Main Policies for Solid Biomass



Strengthening of community participation in forest
management in combination with land titles

Large-scale programme for dissemination of low-cost
energy-efficient stoves, based on proper design and
research and subsidized by the state; preference for such
design that allow for high labour involvement of
beneficiaries

Involvement of locally active NGOs, foreign expertise and
private sector initiatives indispensable

Priority areas near Dili get prime attention (about 50,000
households)

Detailed investigation of solid biomass potentials from
agricultural residues (e.g. for fuelwood substitution)

Introduction of subsidies for LPG and kerosene over limited
period of time and support for new outlets
PREDP / TTF
Rural Energy Policy for Timor-Leste

Main Policies for Biogas



Further assessment of biogas potentials,
including other feedstocks than cattle manure

Development of standardized biogas systems with
increased reliability and lower costs (local
manufacturing), based on international experience; link
to sanitation systems?

Introduction of biogas dissemination programme using
qualified personnel, concentrating on cluster areas of
minimum 20-25 biodigesters; financial support of
Government, but with substantial contribution (labour
or finance) by beneficiaries

Continuous monitoring to expand learning base and
high involvement of national academic institutions

Use of biogas for electricity generation only, if long-
term maintenance and repair can be secured
PREDP / TTF
Rural Energy Policy for Timor-Leste

Main Policy for Rural Electrification


Government will follow recommendations of the Rural
Electrification Master Plan 2007

Establishment of multi-year electrification programme
defining areas for grid extension, local grids (including
energy sources) and off-grid supply

Tapping of small-scale hydropower potentials,
wherever economically and ecologically viable; in
particular where diesel generation can be substituted

Start into gas seep exploitation at Aliambata and
further site-specific investigation of further potentials

Rules for subsidy schemes will be set up

Taking advantage of experience from international
know-how and support networks (GEVP and others)
PREDP / TTF
Rural Energy Policy for Timor-Leste

Solar Lighting Programme (SLP)


Remember: 90,000 will have no other chance than off-
grid electrification by 2020 !

SLP will provide subsidy for basic standard solar
lighting/charging system; consumers can get larger
systems at own expense

All new and refurbished public buildings will get solar
electricity, if not otherwise supplied

SLP will be based on market approach (support for
retailers and installers) and strong commitment by
communities and users to take care of long-term
maintenance; priority will be given to areas of
substantial demand for solar systems (clustering)

Options for local manufacturing of components for low-
cost solar lanterns will be explored
PREDP / TTF
Rural Energy Policy for Timor-Leste

Policies for other Renewable Energy


Technologies

Potential wind-sites need to be assessed (long-term
measurements)

Examination if small wind turbines could act as fuel
savers in combination with existing diesel generators

Assessment for application of very small wind battery
chargers

Investigation for wind pumps

Careful introduction of Jatropha planting, local oil
extraction and use in modified diesel engines for
motive power and electricity generation

Promotion of solar thermal collectors for hot water
generation in hotels, restaurants and health
centers/hospitals
PREDP / TTF
Rural Energy Policy for Timor-Leste

Institutional Setting and Regulation


(1)

SEPE will get responsibility for off-grid rural
electrification based on renewable energy

New Rural Energy Agency (REA) will act as
implementing entity with administrative, managerial,
technical and financial autonomy

REA will be the regulatory authority for off-grid
electricity supply

REA should get financial means for carrying out
Government programmes through Renewable Energy
Fund (State budget/international donations)

Government will set minimum performance and quality
standards for technical systems
PREDP / TTF
Rural Energy Policy for Timor-Leste

Institutional Setting and Regulation


(2)


Legislation should allow for independent operation of
small power generation plants

Uniform rates will be abolished to allow communities
more flexibility in setting appropriate rates

Import ban on incandescant light bulbs

Exemption of all energy efficiency and renewable
energy equipment from duties and taxes


And last point: Improved Data Base !!!
PREDP / TTF
Rural Energy Policy for Timor-Leste

For your comments:

Please send them all to


either
Detlef Loy, dloy@freenet.de (in English)
or
Lino Correia, bemori007@yahoo.com (in Tetum)
until May 26 (absolute deadline) for this phase of
the consultation process.
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

List of existing renewable energy pilot projects


Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

List of Renewable Energy Projects in Timor-Leste

1. Government of Timor-Leste
‐ Solar Home System installed in Manatuto district, Suco Cairui with 240 households
‐ 1 Biogas plant in Suai district, Suco Beco for lighting with 83 M3 – 41 households
‐ 1 Biogas plant in Aileu district, Sub-dist. Liquidoe, Aldeia Betulau for lighting with 21 M3 –
20 households
‐ 1 Biogas plant in Lospalos district , sub distrito Fuiloro, Suco Titilari for cooking with 0.4 M3
– 1 household
‐ 1 Biogas plant in Ermera district, Suco Punilala for lighting with 80-100 M3 (estimation) – 60
households
‐ 14 Biodiesel centre covering 39 ha. in Maliana district, Baucau district, Viqueque district,
Ainaro district
‐ 3 Solar PV Systems by GoTL in Baucau district, Vemase and Lospalos district, Lautem
(GoTL through Haburas Foundation )
‐ Mini-Hydropower 50 KW in Ainaro district, Mau Nuno (GoTL and UNDP)
‐ Almost all Suco centres in Timor-Leste equipped with solar systems for operation of
TV/DVD (Ministry of State Administration)

2. 470 Solar lanterns and 14 school and institutional systems and one solar water pump supported
by UNDESA

3. 125 Solar Home System supported by UNDP in 2006/07

4. 170 energy-efficient stoves realised by UNDP in Sucos Meti-Aut and Cameia (Dili)

5. 7 UNDP Biogas plants for cooking and lighting implemented in Manatuto district and Ainaro
district, another 24 to be completed

6. Edmund Rice Community (CER) project in Ermera district, sub-district Railaco sub-district,
192 SHS installed comprised a single 10Wp

7. 1 Biogas plant for lighting by Caritas in Liquisa district, Guiçu

8. Alternative Technology Association (ATA) has implemented a number of solar systems for
institutions and is currently testing different solar lighting schemes:

‐ Solar power for communication installed in Aileu district (Aileu town and Besilau) and
Ermera district (Ermera town)
‐ Solar power and inverter installed in health centres in Suai district (Fatululic, Fatumean,
Tilomar, Macteur, Zumalai) and Baucau district (Suco Triloka)
‐ Solar power and lighting in Besilau, Alileu district for 16 households and community centre
‐ Wind power installed in Aileu district (Lequidoe) and installation of wind power logging in
Atauro
‐ Solar power and inverter at community centre in Baucau district (Suco Triloka), Oequsse
district (Oesilo) and solar power for lighting in Youth Centre Baqui, Pantemaksar, Oequsse
district
‐ Solar power and inverter in Lisa Doha School, Liquisa district and Covalima kindergarten in
Fatumean, Suai district
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

9. Solar water pump installed by NGO Triangle in Manatuto district, Suku Cairui, Aldeia
Hatukarau. Future plan NGO Triangle will install 40 units of Solar water pump in Manatuto
district

10. Mini-Hydropower 326 KW in Baucau district, Suco Gariuai (by Norway, to be commissioned
in September 2008)

11. Some institutions use solar collectors for water-heating

12. Other NGOs have donated several hundred SHS and solar water pumps

13. Some institutions use solar collectors for water-heating


Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Sucos with preference for Biogas application


Number of households suitable for biogas generation

Timor-Leste: Private households Only households with minimum number of 5 cattle have been selected.
by sucos

Households

Region 1 50.772
Region 2 28.766
Region 3 60.485
Region 4 41.280
Region 5 13.659

Total 194.962

Source: Direcção Nacional de Estatistica, Census 2004

TOTAL HH for Biogas Plants 4594


Viqueque 15.115
(Region I)

Sub District Lacluta 1.257 Sub District Ossu 3.769 Sub District Uatucarbau 1.561
Laline 554 Uaibobo 365 Irabin de Baixo 464
Uma Tolu 305 Builale 467 Irabin de Cima 111
Ahic 82 Nahareca 394 Uani Uma 273
Dilor 316 Ossu de Cima 1.192 Afaloicai 564
Uagia 251 Bahatata 20
Ossorua 116 Loi Ulu 129
Loi-Huno 440
Uabubo 224
Liaruca 320

Sub District Viqueque 4.602 Sub District Watulari 3.926 Ave. Cattle/HH
Uma Uain Craic 474 Macadique 826 5,4
Bahalarauain 588 Uaitame 429
Uma Quic 375 Matahoi 695 9,2
Bibileo 516 Vessoru 378
Watu Dere 292 Babulo 888
Uai-Mori 195 Afaloicai 710
Caraubalo 1.006
Uma Uain Leten 404 TOTAL HH 1.521
Maluru 105
Luca 647
Ainaro 11.527
(Region II)

Sub District Ainaro 2.636 Sub District Hatubulico 2.332 Sub District Hato Udo 2.130 Ave. Cattle/HH
Ainaro 937 Mulo 1.218 Leolima 1.174 5,8
Suro-Craic 192 Nuno-Mogue 641 Foho-Ai-Lico 956 7,9
Soro 283 Mau-Chiga 473
Manutasi 402
Cassa 99
Mau-Ulo 179
Mau-Nuno 544

Sub District Maubisse 4.429


Maubisse 1.044
Manelobas 192
Manetu 420
Aitutu 1.109
Edi 550
Maulau 548
Horai-Quic 274
Suco Liurai 127
Fatu-Besi 165

TOTAL HH 2.130
Bobonaro 18.397
(Region IV)

Sub District Bobonaro 5.087 Ave. Cattle/HH Sub District Maliana 4.491 Ave. Cattle/HH Sub District Lolotoe 1.512
Ai-Assa 345
Atu-Aben 167 Lahomea 467 9,3 Opa 204
Bobonaro 369 Raifun 310 7,1 Lupal 253
Carabau 540 Ritabou 1.009 Guda 162
Colimau 296 Odomau 563 Deudet 267
Cotabot 72 Holsa 959 Lebos 205
Lourba 371 Tapo/Memo 915 Lontas 119
Lour 291 Saburai 268 Gilapil 302
Leber 227
Malilait 248
Molop 368 Sub District Atabae 2.091 Sub District Balibo 3.233
Male-Ubu 433 Aidabaleten 1.116 Balibo Vila 802
Oe-Leu 258 Atabae 318 Leohito 688
Soilesu 259 Rairobo 239 Cowa 492
Sibuni 235 Hataz 418 Leolima 403
Tapo 166 5 Sanirin 411
Tebabui 228 Batugade 437
Ilat-Laun 214 Sub District Cailaco 1.983
Raiheu 191
Goulolo 173
Meligo 528
Atudara 272
Purugoa 459
Dau Udu 84
Guenu Lai 80
Manapa 196

TOTAL HH 943
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Preferences for different RE Technologies for decentral electricity


generation at Suco level
Main energy resources for electricity generation at suco level

Timor-Leste: Private households Based on Rural Electrification Master Plan 2006


by sucos

Not included are supplies based on diesel generators or by


Households central grid

Region 1 50.772
Region 2 28.766
Region 3 60.485
Region 4 41.280
Region 5 13.659

Total 194.962

Source: Direcção Nacional de Estatistica, Census 2004

Potential for Hydropower


Potential for Gas seeps
Potential for Solar PV
Potential for Hydropower and Gas seeps
Potential for Hydropower and PV
Potential for Hydropower, Gas seeps and PV
Potential for Gas seeps and PV
Baucau 22.659
(Region I)

Sub District Baguia 2.192 Sub District Baucau 7.734 Sub District Laga 3.550 Sub District Quelicai 3.941
Afaloicai 158 Bahu 711 Atelari 468 Baguia 170
Alaua Craic 283 Bucoli 409 Tequino Mata 918 Locoliu 358
Alaua Leten 263 Buruma 1.994 Soba 288 Letemuno 486
Haeconi 273 Buibau 705 Samalari 311 Waitame 200
Osso-Huna 141 Wailili 915 Sagadati 608 Macalaco 248
Lari Sula 199 Samalari 272 Nunira 354 Bualale 188
Samalari 325 Gariuai 775 Libagua 291 Lelalai 379
Defa Uassi 205 Triloca 419 Saelari 312 Abo 153
Lavateri 322 Trilolo 373 Guruca 364
Uacala 23 Seical 413 Afaca 297
Caibada 748 Laisorolai de Cima 558
Laisorolai de Baixo 307
Maluro 23
Namanei 176
Abafala 34

Sub District Vemasse 2.017 Sub District Venilale 3.225


Vemase 1.021 Bado Ho'o 379
Ostico 258 Baha Mori 523
Ossoala 184 Uailaha 371
Loilubo 317 Uaioli 312
Uaigae 90 Uma Ana Ico 104
Uatu-Lari 145 Uma Ana Ulo 499
Caicua 2 Fatulia 478
Uataco 559 TOTAL HH 2.293
TOTAL HH 532
TOTAL HH 3.380
Lautem 12.998
(Region I)

Sub District Iliomar 1.625 Sub District Lautem 3.383 Sub District Lospalos 5.619 Sub District Luro 1.478
Ailebere 204 Baduro 317 Bauro 626 Afabubu 129
Cainliu 327 Com 535 Fuiloro 2.551 Baricafa 199
Fuat 117 Daudare 335 Home 319 Cotamutu 407
Iliomar I 299 Euquisi 235 Cacavem 227 Lacawa 167
Iliomar II 314 Ililai 181 Leuro 191 Luro 453
Trilolo 364 Maina I 205 Lore I 585 Wairoce 123
Maina II 486 Lore II 155
Pairara 359 Muapitine 285
Parlamento 493 Raca 277
Serelau 237 Souro 403

Sub District Tutuala 893


Mehara 564
Tutuala 329

TOTAL HH 3.191
TOTAL HH 3.937
Viqueque 15.115
(Region I)

Sub District Lacluta 1.257 Sub District Ossu 3.769 Sub District Uatucarbau 1.561 Sub District Watulari 3.926
Laline 554 Uaibobo 365 Irabin de Baixo 464 Macadique 826
Uma Tolu 305 Builale 467 Irabin de Cima 111 Uaitame 429
Ahic 82 Nahareca 394 Uani Uma 273 Matahoi 695
Dilor 316 Ossu de Cima 1.192 Afaloicai 564 Vessoru 378
Uagia 251 Bahatata 20 Babulo 888
Ossorua 116 Loi Ulu 129 Afaloicai 710
Loi-Huno 440
Uabubo 224
Liaruca 320

Sub District Viqueque 4.602


Uma Uain Craic 474
Bahalarauain 588
Uma Quic 375
Bibileo 516
Watu Dere 292
Uai-Mori 195
Caraubalo 1.006
Uma Uain Leten 404
Maluru 105
Luca 647

TOTAL HH 1.187
TOTAL HH 3.239
TOTAL HH 4.453
Ainaro 11.527
(Region II)

Sub District Ainaro 2.636 Sub District Hatubulico 2.332 Sub District Hato Udo 2.130 Sub District Maubisse 4.429
Ainaro 937 Mulo 1.218 Leolima 1.174 Maubisse 1.044
Suro-Craic 192 Nuno-Mogue 641 Foho-Ai-Lico 956 Manelobas 192
Soro 283 Mau-Chiga 473 Manetu 420
Manutasi 402 Aitutu 1.109
Cassa 99 Edi 550
Mau-Ulo 179 Maulau 548
Mau-Nuno 544 Horai-Quic 274
Suco Liurai 127
Fatu-Besi 165

TOTAL HH 5.343
TOTAL HH 1.218
TOTAL HH 2.170
Manufahi 8.901
(Region II)

Sub District Alas 1.284 Sub District Fatuberlihu 1.229 Sub District Same 5.301 Sub District Turiscai 1.087
Aituha 144 Bubususo 128 Letefoho 1.184 Aitemua 125
Dotic 313 Clacuc 494 Holarua 1.009 Beremana 96
Taitudac 255 Fahinehan 234 Babulo 832 Caimauc 112
Mahaquidan 315 Fatucahi 136 Betano 960 Lesuata 105
Uma Berloic 257 Caicasa 237 Daisua 782 Liurai 83
Grotu 205 Manumera 231
Rotuto 8 Matorec 100
Tutuluro 321 Mindelo 80
Orana 62
Foholau 42
Fatucalo 51

TOTAL HH 6.645
TOTAL HH 4.115
TOTAL HH 2.464
Manatuto 8.338
(Region II)

Sub District Barique/Natarbora 1.115 Sub District Laclo 1.774 Sub District Laclubar 1.674 Sub District Laleia 914
Aubeon 328 Lacumesac 514 Orlalan 472 Lifau 203
Uma Boco 363 Umacaduac 782 Funar 232 Haturalan 228
Abat Oan 104 Uma Naruc 113 Manelima 377 Cairui 483
Barique 148 Hohorai 365 Batara 341
Manehat 172 Fatumaquerec 107
Sanana'in 145

Sub District Manatuto 2.322 Sub District Soibada 539


Cribas 449 Samoro 88
Aiteas 175 Leo Hat 128
Ma'abat 351 Fatumacerec 145
Sau 958 Manlala 74
Iliheu 314 Manufahi 104
Ailili 75

TOTAL HH 2.391
TOTAL HH 1.404
TOTAL HH 3.702
Aileu 7.745
(Region III)

Sub District Aileu 3.492 Sub District Laulara 1.081 Sub District Liquidoe 1.312 Sub District Remexio 1.860
Aisirimou 238 Cotolau 106 Namoleso 279 Acumau 315
Bandudato 220 Talitu 395 Acubilitoho 228 Tulataqueo 368
Fahiria 162 Madabeno 287 Betulau 90 Suco-Liurai 58
Fatubosa 474 Tohumeta 126 Faturilau 136 Faturasa 295
Lahae 131 Fatisi 167 Bereleu 151 Fadabloco 186
Lausi 120 Fahisoi 325 Maumeta 87
Hoholau 156 Manucasa 103 Hautoho 302
Seloi Malere 448 Fahisoi 249
Seloi Craic 495
Saboria 155
Suco Liurai 893

TOTAL HH 572
TOTAL HH 3.649
Dili 31.575
(Region III)

Sub District Atauro 1.696 Sub District Cristo Rei 7.734 Sub District Dom Aleixo 13.164 Sub District Metinaro 767
Atauro Vila/ Maumeta 251 Culu Hun 1.167 Fatuhada 897 Sabuli 260
Maquili 352 Becora 3.108 Kampung Alor 677 Duyung (Sereia) 507
Beloi 371 Camea 1.074 Comoro 7.607
Macadade 298 Hera 1.097 Bairro Pite 3.983
Biceli 424 Balibar 255
Meti Aut 111
Bidau Santana 922

Sub District Nain Feto 3.252 Sub District Vera Cruz 4.962
Santa Cruz 713 Lahane Ocidental 739
Acadiru Hun 196 Vila Verde 1.230
Bemori 672 Macarenhas 1.059
Lahane Oriental 1.144 Caicoli 476
Bidau Lecidere 225 Colmera 412
Gricenfor 302 Motael 597
Dare 449

TOTAL HH 449
TOTAL HH 723
Ermera 21.165
(Region III)

Sub District Atsabe 3.612 Sub District Ermera 5.424 Sub District Hatolia 6.177 Sub District Letefoho 4.232
Paramin 209 Poetete 1.027 Leimea Sorimbalu 118 Ducurai 879
Atara 502 Ponilala 565 Coliate-Leotelo 599 Haupu 824
Beboi Craic 373 Talimoro 362 Asulau 359 Lauana 430
Obulo 441 Mirtutu 638 Ailelo 400 Catrai-Craic 464
Lasaun 223 Leguimea 230 Leimeacraic 274 Catrai Leten 475
Batumanu 237 Humboe 369 Samara 129 Goulolo 325
Tiarlelo 74 Riheu 821 Manusae 746 Eraulo 402
Laubono 286 Lauala 362 Hatolia 531 Hatugau 433
Atadame/ Malabe 389 Raimerhei 436 Urahou 668
Leimea Leten 375 Estado 614 Mau-Ubu 515
Laclo 238 Lissapat 554
Beboi Leten 265 Fatubolu 597
Fatuessi 687

Sub District Railaco 1.720


Lihu 211
Matata 256
Tocoluli 168
Fatuquero 292
Railaco Craic 210
Railaco Leten 205
Samalete 209
Deleco 57 TOTAL HH 8.370
Taraco 112 TOTAL HH 1.410
TOTAL HH 4.315
Bobonaro 18.397
(Region IV)

Sub District Bobonaro 5.087 Sub District Maliana 4.491 Sub District Lolotoe 1.512 Sub District Cailaco 1.983
Ai-Assa 345 Raiheu 191
Atu-Aben 167 Lahomea 467 Opa 204 Goulolo 173
Bobonaro 369 Raifun 310 Lupal 253 Meligo 528
Carabau 540 Ritabou 1.009 Guda 162 Atudara 272
Colimau 296 Odomau 563 Deudet 267 Purugoa 459
Cotabot 72 Holsa 959 Lebos 205 Dau Udu 84
Lourba 371 Tapo/Memo 915 Lontas 119 Guenu Lai 80
Lour 291 Saburai 268 Gilapil 302 Manapa 196
Leber 227
Malilait 248
Molop 368 Sub District Atabae 2.091 Sub District Balibo 3.233
Mali-Ubu 433 Aidabaleten 1.116 Balibo Vila 802
Oe-Leu 258 Atabae 318 Leohito 688
Soilesu 259 Rairobo 239 Cowa 492
Sibuni 235 Hataz 418 Leolima 403
Tapo 166 Sanirin 411
Tebabui 228 Batugade 437
Ilat-Laun 214

TOTAL HH 10.367
TOTAL HH 983
TOTAL HH 4.591
Covalima 11.820
(Region IV)

Sub District Fatululic 440 Sub District Fatumean 859 Sub District Fohorem 1.015 Sub District Zumalai 2.339
Fatululic 136 Fatumea 205 Fohoren 327 Raimea 1.084
Taroman 304 Belulic Leten 469 Lactos 182 Zulo 573
Nanu 185 Dato Rua 236 Lour 66
Dato Tolu 270 Fatuleto 56
Mape 64
Lepo 40
Ucecai 25
Tashilin 431

Sub District Suai 4.475 Sub District Tilomar 1.420 Sub District Maucatar 1.272
Beco 676 Foholulic 203 Holpilat 232
Debos 1.891 Lalawa 473 Ogues 314
Suai Loro 714 Maudemo 456 Matai 563
Camenaca 643 Casabauc 288 Belecasac 163
Labarai 551

TOTAL HH 3.108
TOTAL HH 1.694
TOTAL HH 2.671
Liquicá 11.063
(Region IV)

Sub District Bazartete 3.856 Sub District Liquica 3.558 Sub District Maubara 3.649
Fatumasi 301 Dato 1.155 Lissadila 565
Fahilebo 196 Loidahar 464 Guico 325
Tibar 467 Darulete 260 Vatuvou 670
Motaulun 273 Luculai 197 Vatuboro 423
Metagou 305 Hatuquessi 585 Maubaralissa 281
Lauhata 620 Acumano 335 Viviquinia 591
Leorema 829 Leoteala 562 Gugleur 794
Maumeta 402
Ulmera 463

TOTAL HH 1.086
Oecusse 13.659
(Region V)

Sub District Nitibe 2.690 Sub District Oessilo 2.425 Sub District Pante Makasar 6.796 Sub District Passabe 1.748
Usi-Taco 536 Bobometo 1.380 Nipani 275 Abani 1.396
Bene-Ufe 502 Usi-Taqueno 314 Lifau 451 Malelat 352
Suni-Ufe 366 Usi-Tacae 731 Cunha 937
Lela-Ufe 871 Costa 2.230
Banafi 415 Taiboco 1.203
Lalisuc 589
Bobocase 236
Naimeco 875

TOTAL HH 6.336
TOTAL HH 1.380
TOTAL HH 641
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Solar Electric PV Projects in Timor-Leste


Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Individual Solar Lighting for Homes in Timor-Leste

A) Solar Home Systems for lighting installed


during Indonesian Time

In the ninetees, Indonesia had undertaken


considerable efforts to bring basic electricity
services (mainly for lighting and communication)
to remote rural communities. With about 50,000
systems, Indonesia was running one of the largest
dissemination programms of Solar Home Systems
worldwide (see information provided to SSoEP).
Several hundreds of those systems using 50W
panels were also installed in East Timor.

It is not known, how many of those systems are


still in place and functioning. As we were
informed, most of the systems are not operating
anymore. This could be attributed to the fact that
in recent years batteries have not been replaced. In
some cases it is also possible that the internal wiring and electrical applications were
removed or demolished during the crisis of 1999, while the panels (usually mounted to the
roof) were staying in place. But it is also quite likely that still existing panels are in good
shape and could be made operational.

B) Lantern Programme by UNDESA

Locations: Ataúro ; Laulara (District Dili)

UNDESA (United Nations Department for Economic and Social Affairs) has been
distributing 470 solar lanterns in early 2008 to individual households within its programme
for sustainable access to water and energy (orginally a social support mechanism with a
strong focus on income generating aspects). 200 of the lanterns were given to households in
three aldeias of Ataúro (suco ...), providing light to about 50% of all households in that suco.

The pilot project was started in 2005 and will terminate in the middle of 2008, but had to face
several delays related to training, selection of the lantern model and implementation. It is
being carried with support from two NGOs engaged in the sub-districts and with assistance of
a consultant for training and monitoring, hired by UNESCAP (UN Economic and Social
Commission for Asia and the Pacific). On the village level, community committees had been
formed, with two people in each suco being trained in money collection and maintenance.

At least in one aldeia of Ataúro which we visited, the lanterns were handed out in places that
already had some solar electricity for the suco building and the school. Apparently no
synergy effects had been taken into account (like using a centralised recharging system
instead of various individual solutions).

The project was set up under a rental (leasing) scheme, ownership of the lanterns will be
maintained with the Government over a period of five years. Each household will have to pay
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

$1,80 per months, thus making


up for maintenance costs that
could eventually occur (like
replacement of the rechargable
battery). A survey had shown that
each househould spends monthly
between $3 and $8 on the
purchase of kerosene. Certainly
“disappearance” of the lanterns
could be a blow against success
of this project (thefts and sales of
solar panels have been a major concern with rented and donated PV systems in South Africa)

Before making a selection, five different commercially available lantern models had been
tested. Finally the relative expensive, but very robust Glowstar lantern (manufactured by the
British company Sollatek, see photo) has been chosen (for technical details see information
downloaded from Internet and provided to SSoEP). Each lantern costs about $240 (including
shipment and taxes and a 10W panel; ordered from the UK factory, cost is about $150
without shipment). One religious charity is using the same model, the local solar retailer
Startec is providing spare parts. But Startec also expressed concern about the short-term
availability of spare parts that have to be imported via a sales contact in Australia. Mr. Kim
Tchia of Startec also pointed out that the electronics of the Glowstar lantern is relatively
sophisticated so that specific skills are needed for the repair.

Reason for choosing the Glowstar lantern was not the least that it would be perfectly suitable
for being used as mobile light, e.g. in fishing communities to fix nets at night. But as we
experienced from a site visit, the lantern was only used indoors, with users having been told
that they should not remove the lantern from its location.

The Glowstar comes in two sizes, usually operating with a 5W compact fluorescent lamp
(CFL, equal to 25 W incandescant light bulb) and 7W (equal to 40 W incandescant lamp)
respectively. In this mode they will operate with a fully-charged battery for either 5.2 or 8
hours. Both lanterns can also be equipped with either a 5W, 7W or 9W CFL, influencing of
course the available operation time. The smaller lantern can be attached to a 10W or 20W
solar panel, the larger one also to a 30W panel. With grid electricity available, both lanterns
can also be charged with an AC adapter. The larger lantern also incorporates a 12V output
together with a cigarette lighter socket that allows for operation of a small radio or charging
of a mobile phone (both will require a cigarette lighter adapter that is easily available).

Comments: The owner of Startec Enterprises has told us that he is about to design his own
solar lantern that could be assembled locally and would cost less than $200. This price would
still be higher than for ready assembly kits sold by SOLUX (see information material). A
US/Indian student group has even designed and manufactured a lamp for less than $20 using
a 0.1W LED lamp and imported electronic items from US and China (see photo and
information), even though lighting capacity may not be comparable.

As notified by mail on Feb. 21, 2008 (Anton Vikstrom), the Alternative Technology
Association (ATA) in Australia is currently developing an effective lighting and cost-
recovery system for poor households - aiming at maintenance costs of $1 per month (donor
supports upfront capital, user pays repair). ATA is also looking at the local manufacture of
PV lighting systems. They are currently working on designs for a small 2 x light basic solar
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

lighting system that could be supplied for approx $100. The electrics of this system are being
tested (in Australia and TL) and the housing being designed by a plastics fabricator. ATA
intends to promote a local (TL) industry in the manufacture, distribution and servicing of
these units which could reasonably be installed in all off-grid household applications. The
systems may also be used as back-up power in towns
(with a charger instead of solar panel). ATA is
currently developing a proposal which will be
circulated looking for appropriate partners to work
with to develop and implement this plan.

In any case: Efforts should be undertaken and


Government support given to all activities pursuing a
high local contribution in manufacturing solar
lanterns.

C) Solar Lighting within PREDP/TFF (UNDP)

Locations (units): Sub-Districts Vera Cruz (18) and Cristo Rei (10) in District Dili; Sub-
Districts Maubara (10), Liquica (10) and Bazartete (10) in District Liquica; Sub-District
Manatuto (10) in District Manatuto; Sub-Districts Maliana (10) and Balibo (20) in District
Bobonaro; Sub-Districts Passabe (15), Nitibe (7) and Pante Makasar (5) in District Oecusse

In 2007, UNDP has supported the installation of solar panels (20W) and attached systems
(consisting of charge controller, battery, 2 light sockets and switches) in houses of Liquiça,
Cairui (is that true?) and Laulara. The systems were handed over free of charge, no payment
had to be made by the users. As to our knowledge there is no maintenance backup in place,
so that sustainability of this scheme is very doubtful.

We did not yet receive any figures on that project, but prices provided by Startec indicate that
a 10W system providing one light bulb (CFL) would cost between $230 – 240, while a 20W
system serving two lights costs about $385.

D) Village Lighting Scheme of Alternative Technology Association (ATA), Australia

Location: Besilau (District Aileu)

In October 2007, ATA has started to test different lighting schemes in the suco Besilau
(District Aileu), targeting 16 customers (see report included in the reference list of the rural
energy policy development). According to ATA, villagers have been spending between $1
and $5 for lighting, using a mix of kerosene and candles. Some communities reportedly could
only afford to use lighting for 2-3 times per week.

Several combinations of lighting solutions have been installed, including a central recharging
station for batteries, equipped with two 80W panels, a large battery bank and an inverter
(total cost $3.120 without shipment). This recharging station has been located at the suco
center, providing also lighting for the center itself. Customers using this recharging service
have received different batteries (with different maximum charging cycles) and either an
LED lamp (as mobile system, see photo) or LED or CFL light bulbs for a fixed internal
lighting system (costing between $120 and $150). All those households using the central
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

battery recharge station have to pay $1 per months. The collected money will only cover
maintenance and battery replacement costs.

In five cases usual small-scale solar home systems were installed (most probably not more
than 5W panels, costing only $110 per system), using either LED (2W) or CFL (3W, having
an average of 150 lumens) bulbs offering different lighting quality, as the LED light is far
more concentrated (no information provided on the size of the module). Apart from this, local
technicians and stations managers have been trained to do minor repair works and run the
commercial activity. A set of spare-parts was left in the community.

Comment: The central recharging station is a viable alternative to stand-alone systems if very
small amounts of electrical energy are needed. It leads into a business-style operation as
payment has to be done for every recharging and the operators have to overlook the
functioning of the central PV system as well as of the individual accumulators. Critical is the
relatively low number of charging cycles (between 200 and 500). $1 seems to be a very low
amount for running two lights, but quality of light needs to be taken into account (3W CFL is
only in the range of a 15W incandescant light bulb). Critical is also the backup of
maintenance in case of severe failures and the access to spare-parts, as in all those technical
projects. This suco center apparently has not yet received the solar equipment from the
Ministry of State Administration. In those cases, where such a larger system is already in
place, operation of a similar recharging center could be considered, eventually after some up-
grading (additional solar panel etc.) has taken place.

Overall observation and recommendations

Providing modern lighting to rural households without electricity supply from a central or
isolated grid is essential to replace the use of kerosene and candles and improve living
conditions. It is not reducing costs – on the contrary: in general only maintenance costs, such
as incurred by the replacement of the battery and the light bulbs, can be covered by rural
consumers, if calculated against spendings for traditional lighting sources. That means that
investment costs usually have to be covered from donations, i.e. either the national state
budget or from international fundings. Under any circumstances conditions should be
avoided, in which the beneficiaries get the complete system for free, without be asked for any
contribution. Collecting and managing such small contributions (in the range of $1-5 for
small-scale systems, depending on their size and lighting quality) is not easy to do, but should
be introduced as a collaborative effort within the community.

Our general concern is focussed on the longer-term sustainability of the systems, with a low
density of experienced technicians and virtually hardly any technical backup scheme in place.
We therefore strongly recommend to first put PV electricity on the agenda of technical
schools and equip those vocational centers with model PV kits for educational purposes.
Teachers will need to be trained by experienced local oder international advisors, educational
material needs to be prepared.

A second step would be to promote the establishment of retail stores or technical workshops
throughout the country. The main spare-parts (like batteries, lamps) should be easily
available within close distance of the users home, without the need to refer to shops in Dili.
At least every district capital should have such privately run store with sufficiently trained
personnel. It needs to be considered how such business could be stimulated by providing
certain incentives to overcome existing obstacles. Of course it has to be taken into account
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

that a sufficiently large market will be needed for any such enterprise to be succesful.
Thoughts should also be given, how existing business activities by local people could be
enhanced or expanded to also provide service for the solar sector (using service shops for cars
or electrical/mechanical equipment in district centers).

D. Loy, March 2008


Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Estimations

A 20W module has a size of roughly 0.2 m².

The daily solar irradiation in TL is on average 5 kWh/m².

→ With an efficiency of about 15% (standard value of current modules) we can gain with
this module about 150Wh of electricity per day.

One CFL of 20W (equivalent lighting quality of a 100W incandescant light bulb), operating
for 4 hours a day will consume 80 Wh.

Two CFLs of the same size will therefore consume about 160 Wh.

→ With a 20W module exposed to average sunshine for one day, we can run 2 CFLs of
20W each (or 4 CFLs of 10W each) for almost 4 hours per day.
→ The electricity consumption (and generation) in one month will add up to about 5kWh.

The use of LEDs would lead to higher costs for the lamp, but could substantially reduce the
size of the module (estimated cost of appr. $8 per Watt for small modules) or increase the
“amount” of light.

The size of the battery is determined by the amount of electricity stored (measured in Ah).

If we assume that the battery should store sufficient electricity to cover three days in a row
without recharging (there could be cloudy days in between) we will need 480 Wh, divided by
12V (the voltage of the battery) we get then 40Ah. Each Ah of battery storage currently costs
about $2.

Estimated cost of a complete SHS system:

20W module $160


Battery $80
Charge Controller $20
Lamp, Wiring, Switches, Mounting $20
Total costs $280

If we assume that 50.000 customers would get such a basic solar lighting system, it would
cost then $14 million of investment.
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Report on Community Power Plants


Detlef Loy: UNDP, Rural Energy Policy Development Timor-Leste, January-May 2008, Working Document 1

Community-based Electricity Network

Location: Suco Fatumasi, Sub-District Bazartete, District Liquiça

Observation:

The suco had already electricity until 1999, but the generators were destroyed at that time and
wires were dismantled from the distribution line and sold by the local population in the
aftermath of those events.1 In 2002, the Japanese Government (JICA) donated two new diesel
generator sets as part of its “Project for urgent rehabilitation of small power stations in rural
areas”.2

Each of the generators has a capacity of 62.5 kVA, but only one is currently operational. The
other one is down due to water that has entered the engine together with diesel fuel. Only 47
households are connected to the community grid, getting electricity mainly for lighting and
information (TV/radio) during 6-7 hours in the evening.

Location of Power Plant in the suco Fatumasi/sub-district Bazartete

1
Besides the suco Fatumasi, also the far larger (by population) suco Leorema in the same sub-district
Bazartete had electricity until 1999.
2
Within this programme, between 2002 and 2004 a total of 13 power plants were reinstalled throughout the
country with assistance from the United Nations Office for Project Service (UNOPS): Bazartete (Liquica),
Loes (...), Atabae (Bobonaro), Atsabe (Ermera?), Remexio (Dili?), Hato-Udo (Ainaro), Fatuberliu
(Manufahi), Lacluta (Viqueque?), Iliomar (Lautem), Beco or Beaco? (...), Mape (Cova Lima), Hatubuilico
(....), Raimean or Raimea in Cova Lima? (....) .
Detlef Loy: UNDP, Rural Energy Policy Development Timor-Leste, January-May 2008, Working Document 2

Each household is paying a reduced flat-rate of 2.25$ per month since the crisis of 2006/07,
before it was 3$. The collected amount (that every household can afford due to a relatively
prosperous environment, mainly based on corn and coffee selling) is used for purchasing of
fuel – that is delivered by EDTL – and payment of the technical operator (50$ a month).

The gensets donated by Japan in 2002, at right the control unit, in the background the diesel storage tank

The suco administration has been seeking for technical assistance to restore the function of
the second generator, but so far EDTL has not shown any reaction. The operator was
reporting that the max. load is about 18-20 kW. It needs to be questioned how this already
relatively high load sums up, based on the assumption that each household barely will operate
more than 4 lights and a TV at the same time.3 Fact is that the plant is highly oversized and
could serve a lot more households and /or other purposes (as the suco chief suggested, there is
an energy/electricity need for coffee grinding and furniture making).

Apparently it was originally planned to also provide more households in the near vicinity with
electricity, but despite the fact that poles from former times are still existing such plans did
not materialize until to date. As can easily be seen from the satellite picture, in the closer
surrounding of the power plant and the suco Fatumasi there are only scattered houses, mainly
located some 200 metres below the suco, which is placed on a high ridge at an altitude of
almost 900 metres. It is reported that the nearest other suco Leorema with more than 500
families is about 2.5km away. Wiring could be established, if funds would be made available.
On this background it is not understandable, why preference was given to this site with a very
limited demand.

3
We learned in Remexio that most, if not all consumers still use incandescant light bulbs of 100W each,
instead of energy saving light bulbs with 20W and equivalent lighting capacity.
Detlef Loy: UNDP, Rural Energy Policy Development Timor-Leste, January-May 2008, Working Document 3

As it is, the oversized engines are operating at only partial load and therefore with a reduced
efficiency. If figures have been provided correctly, one engine consumes about 10 litre of
diesel per hour (at roughly 10 kWh energy content per litre). Therefore the energy input per
hour amounts to about 100 kWh, while the output is only in the range of 20 kWh or the
electrical efficiency equal to about 20%! Assumed that the average load is probably far lower,
the efficiency will even decline further.

It further needs to be questioned, how much of the operating cost is effectively carried by the
community. 10 litres of diesel currently cost about 10$, therefore the operation for only one
evening would sum up to about 60$, i.e. more than 1$ per household! But as can easily be
calculated, the total number of households pay only 105.75$ per months, leaving only 55.75$
for the purchase of fuel. This suggests, that almost the total amount of fuel (1,800 litres per
month equal to about 1,800$) is being subsidized from the state budget.
Detlef Loy: UNDP, Rural Energy Policy Development Timor-Leste, January-May 2008, Working Document 4

Plate of the genset

It also needs to be noted that despite the fact that there is sufficient electricity available, a
hospital/health center (through the Ministry of Health), a police station (through the Ministry
of Interior), the suco administration (through the Ministry of Infrastructure) and the
community center (through the Ministry of ... ,with UNDP funding) have all been provided
with individual PV systems. The suco administration is operating a refrigerator on this
system, keeping animal vaccines at low temperatures. Such round-the-clock energy service
could also have been provided by installing a battery storage that would have been charged
during the evening hours.

PV System on the sub-district administration building; it is akward how the panels have been mounted, facing
different directions. The supporting structure of the elevated panel looks weak, given the fact that apparently
strong winds can happen.

The only recently installed solar community centre system is already partially dysfunctional,
since the TV satellite dish collapsed during a storm and was heavily damaged. It is apparent
that the foundation was not properly done, with concrete placed only around the surface of the
pole grounding. Thus it was inevitable that the pole could not stay fixed in the ground and did
not resist heavier wind loads.

Community centre with solar panel and broken satellite dish on the left.
Detlef Loy: UNDP, Rural Energy Policy Development Timor-Leste, January-May 2008, Working Document 5

Insufficient foundation of the satellite pole that lead to collapse

To conclude: The power plant, which lead to investment costs of at least 150,000$, is serving
only a very limited number of customers and appears to be misplaced. Investment costs alone
were in the range of 3,000$ per connected household, therefore exceeding average annual
incomes by several times (and making it obvious that a PV system could have served the
same functions at considerably lower costs)! The machines are oversized, despite the fact that
an artificially high load is created by using inefficient electrical appliances. The proposed
connection to the next neighbouring suco was not realized. Most of the fuel supply is being
fully subsidized, due to a low financial contribution from the community. Proper maintenance
by EDTL is not secured, one engine is down since several months without any reaction from
the utility. On top of this, several buildings have received solarelectric systems, despite the
fact that an already extremely expensive electrical power supply, operating well below full
capacity, and a local distribution network exists.

It is strongly recommended to look into effective ways for using the power plant for other
productive purposes, to establish reliable contractual service agreements with EDTL,
reconsider the financial contributions of the electricity consumers and connect more
customers to the power plant.

29.01.2007

Detlef Loy (all pictures, except those taken from Google Earth)
Loy Energy Consulting
dloy@freenet.de
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Comparison of Energy-efficient Stoves in Uganda and Timor-Leste


Comparison of Energy-efficient Stoves
in Uganda and Timor-Leste

Observation
Uganda:
Stoves made of locally available material (clay mixture), very low cost, high efficiency (more
than 50% less wood input), both pots receive sufficient heat, local production by users with
assistance from trained staff, indoor smoke completely banned, lifetime about 4 years.

East-Timor:
Stoves made of bricks, cement and metall (or ceramics in a different one-pot design),
relatively high costs (20 US$ and more), high – mainly uncontolled - inflow of air due to two-
chamber system with separate ash compartment, second pot does not receive sufficient heat,
apparently not properly designed, chimney in some cases missing, exhaust smoke not fully
flowing through chimney, long lifetime, local manufacturing with labour input by users.

All pictures:

Detlef Loy
Loy Energy Consulting
dloy@freenet.de

January 2008
Rocket Lorena Stove for two pots with chimney, material: Clay mixture Rocket Lorena Stove for two pots with chimney, material: Clay mixture
Uganda, November 2008 Uganda, November 2008

Rocket Lorena Stove for two pots with chimney, material: Clay mixture Rocket Lorena Stove for two pots with chimney, material: Clay mixture
Uganda, November 2008 Uganda, November 2008
Rocket Lorena Stove for two pots with chimney, material: Clay mixture Preparation of clay mixture for Rocket Lorena Stove
Uganda, November 2008 Uganda, November 2008

Rocket Lorena Stove, building phase Rocket Lorena Stove, building phase
Uganda, November 2008 Uganda, November 2008
One-Pot Mobile Stove made of clay mixture
Uganda, November 2007

Rocket Lorena Stove, made of clay mixture Rocket Lorena Stove, made of clay mixture
Uganda, November 2007 Uganda, November 2007
Large stove for primary school Large stove for primary school
Kampala, November 2007 Kampala, November 2007
Stove in Timor-Leste, Jan. 2008, Chimney removed, open front Stove in Timor-Leste, Jan. 2008, Chimney removed, open front
Material: Bricks, Cement, Metall Material: Bricks, Cement, Metall

Stove in Timor-Leste, Jan. 2008, with chimney, open front Stove in Timor-Leste, Jan. 2008, with chimney, front closed
Material: Bricks, Cement, Metall Material: Bricks, Cement, Metall
Stove in Timor-Leste, Jan. 2008, with chimney, open front Stove in Timor-Leste, Jan. 2008, with chimney,
Material: Bricks, Cement, Metall Material: Bricks, Cement, Metall

Assembled stove, not complete (Firing unit missing), made of ceramics


Timor-Leste, January 2008
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Projects funded by the Global Environment Facility in the field of


Rural Energy and Rural Electrification
Projects - Results Page - Advanced Search http://web.worldbank.org/external/projects/main?menuPK=225435&t...

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Your search for Rural energy returned 30 records (Results 1 - 30 of 30)


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Commitment Status Approval
Project Name ID Product Line Country/Area
Amount* Date
MX-GEF Integrated Energy Services P095038 15 Global Environment Mexico Active 17-JAN-2008
Project

TZ-GEF Energy Dvpt and Access Expansion P092154 6.5 Global Environment Tanzania Active 13-DEC-2007
Project

Ghana Rural Energy Accesss P070970 5.5 Global Environment Ghana Active 26-JUL-2007
Project

MN- Renewable Energy for Rural Access - GEF P084766 3.5 Global Environment Mongolia Active 19-DEC-2006
Project

Rural Electrification Phase I Project of the Rural P080054 3.75 Global Environment Lao People's Democratic Active 27-APR-2006
Electrification (APL) Program Project Republic

PE - Rural Electrification P090110 10 Global Environment Peru Active 07-MAR-2006


Project

Rural Electrification Project P090113 2.35 Global Environment Honduras Active 15-DEC-2005
Project

ENERGY ACCESS PROJECT P077380 4.93 Global Environment Ethiopia Active 28-JUL-2005
Project

China - Renewable Energy Scale-up Program (CRESP) P067625 40.22 Global Environment China Active 16-JUN-2005
Project

VN-GEF-RURAL ENERGY 2 P080074 5.25 Global Environment Vietnam Active 18-NOV-2004


Project

SN-GEF Elec Srvc for Rural Areas (FY05) P070530 5 Global Environment Senegal Active 09-SEP-2004
Project

Renewable Energy Development Project P071591 5.75 Global Environment Cambodia Active 16-DEC-2003
Project

Supplemental Project to the Rural Power Project P072096 9 Global Environment Philippines Active 04-DEC-2003
Project

Nicaragua Off-Grid Rural Electrification P075194 4.02 Global Environment Nicaragua Active 15-MAY-2003
Project

DECENTRALIZED RURAL ELECTRIFICATION PROJECT P042055 2 Global Environment Guinea Active 02-JUL-2002
Project

System Efficiency Improvement, Equitization & P073778 4.5 Global Environment Vietnam Active 25-JUN-2002
Renewables Project (GEF Renewable Component) Project

Renewable Energy for Rural Economic Development P077761 8 Global Environment Sri Lanka Active 20-JUN-2002
Project

Renewable Energy Development Project P074040 8.2 Global Environment Bangladesh Active 05-JUN-2002
Project

Energy for Rural Transformation Project P070222 12.12 Global Environment Uganda Active 13-DEC-2001
Project

Power and Communications Sectors Modernization and P072527 2.84 Global Environment Ecuador Active 20-NOV-2001
Rural Services Project - PROMEC Project

Renewable Energy for Agriculture Project (GEF) P060718 8.9 Global Environment Mexico Closed 21-DEC-1999
Project

Renewable Energy Development Project - GEF P038121 35 Global Environment China Active 08-JUN-1999
Project

AR-RENEWABLE ENERGY IN RURAL MARKETS P045048 10 Global Environment Argentina Active 30-MAR-1999
Project

RENEW. EGY SMALL POW P042944 4 Global Environment Indonesia Closed 24-JUN-1997
Project

SN-GEF Enrgy Mgmt Sust Prtn SIL (FY97) P042056 4.7 Global Environment Senegal Closed 12-JUN-1997
Project

ENERGY SERV.DLVY. P039965 5.9 Global Environment Sri Lanka Closed 18-MAR-1997
Project

Solar Home Systems P003700 24.3 Global Environment Indonesia Closed 28-JAN-1997
Project

Rw: Urgent Electricity Rehabilitation (GEF) P097818 4.5 Global Environment Rwanda Pipeline N/A
Project

Zm: Increased Access to Electricity & ICT Services - P076320 4.5 Global Environment Zambia Pipeline N/A
GEF Project

Off-Grid Rural Electrification Project P068390 1.5 Global Environment Mexico Dropped N/A
Project

[1]
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* For active and closed projects, the commitment amount at Board approval is shown in US$ millions.This does not reflect any
cancellations. Proposed (pipeline) and dropped projects show the forecast amount. The commitment amount for projects in the pipeline is
indicative and may be modified during the project preparation.
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Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

Terms of Reference

(for International Consultant)


Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

United Nations Development Programme

TERMS OF REFERENCE

Post Title : Rural Energy Policy Development Specialist


Duration of the Assignment : 3 months
Duty Station : Dili, Timor-Leste
Expected starting date : September 2007
Project : Participatory Rural Energy Development Programme
(PREDP) and TTF-Energy

I. Background

The Government of Timor-Leste (GoTL) through the Ministry of Natural Resources, Minerals and
Energy Policy in cooperation with UNDP and the Government of UK are implementing two pilot
projects, Participatory Rural Energy Development Programme (PREDP) and Promoting Access to
Energy Services to Rural Areas of Timor-Leste and Formulation of National Rural Energy
Development Policy in six districts. The development goals of the ongoing projects are: 1) to
introduce rural energy technologies (RETs) and/or renewable energy technologies to increase access
to energy services for the poor people in remote areas; 2) promote the use of renewable energy for
productive purposes to enhance economic productivity and income generation for the poor people and
at the same time addressing environment conservation; 3) assist the Government of Timor-Leste to
prepare renewable energy policy; and 4) establishment of institution(s) to support the sustainability of
rural energy in the country.

The development of the rural energy policy is one of the most critical components of the project as
currently there is no comprehensive policy to guide the development of the overall rural energy sector
in the country. UNDP is, therefore, looking for a specialist in this area to take up this assignment and
start assisting the Government to develop the rural energy policy for Timor-Leste.

II. Objective

The objective of the assignment is to develop a National Rural Energy Policy for Timor-Leste.

III. Duties and Responsibilities

In close coordination with the Ministry of Natural Resources, Minerals and Energy Policy (GoTL);
the Poverty Reduction and Environment Unit (UNDP); and the National Project Manager, the
incumbent will perform the following tasks:

ƒ Review all available background materials related to energy and development in Timor-
Leste including the National Development Plan, Rural Electrification Master Plan, Sector
Investment Program (Power), the National Energy Development Plan, Timor-Leste energy
needs assessment report (UNDP), and lessons learned from rural energy development
projects e.g. PREDP and TTF-Energy;
ƒ Conduct extensive consultation meetings with relevant government ministries, NGOs,
Academia, rural communities (energy users) and energy suppliers at the national and
district levels;
Rural Energy Policy for Timor-Leste (Proposal)– Final Version, July 2008

ƒ Coordinate with the Project Implementation Unit to conduct field visits to the districts - to
collect information at the grass-root level;
ƒ Prepare the draft Policy for Rural Energy Development in the country;
ƒ Ensure that in line with the National Development Plan the draft national rural energy
policy reflects and incorporates access to energy as a means to improve livelihoods and
economic development in rural areas;
ƒ Coordinate with the Project implementation Unit to conduct workshops at the district and
national levels - to review and validate the draft policy paper;
ƒ Review and improve the draft Rural Energy Policy by incorporating all relevant
information collected in the consultation workshops; and
ƒ Submit the final draft of the Rural Energy Policy to the relevant Government Ministries and
UNDP.

IV. Expected Outputs

The incumbent is expected to produce the following outputs:

a. Reports of the consultation workshops;


b. A draft Rural Energy Development Policy for Timor-Leste for submission to the relevant
Government Ministries and UNDP; and
c. Final Mission Report

V. Qualification and Professional Experience

• Advanced university degree in energy technology, or in other related fields with minimum of
10 years of experience working in the area of Rural Energy Development;
• Familiarity with rural energy policies in the Asian and/or Pacific countries;
• Demonstrated strong experience in the formulation of rural energy policy and broader
understanding of rural development issues mainly in the Least Developing Countries (LDC) /
Small Islands Developing States (SIDS);
• Demonstrated experience in facilitating multicultural consultative processes, preferably in the
area of rural energy development;
• Familiarity with the working environment in the LDCs, especially in Asia and the Pacific
regions;
• Good knowledge of cross-cutting issues in relation to energy planning, programming and
implementation in the developing countries, particularly in the Asia-Pacific Region;
• Familiarity with renewable energy technology for rural development;
• Excellent writing and communication skills in English, (fluency in Portuguese, Tetum or
Bahasa Indonesia would be an advantage);
• Experience with UN agencies is an advantage.

Please submit your applications together with curriculum vitae and relevant supporting documents to
the following address

The deadline for submission of applications is 31 July 2007

Procurement Unit, UNDP


UN House
Obrigado Barracks Compound, Building 11
Caicoli Street, Dili, Timor-Leste
Fax : +670 3312408
E-mail : ssa.tp@undp.org

The deadline for submitting applications is 31 July 2007.


Only short-listed candidates will be notified. Women candidates are strongly encouraged to apply.

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