Community Development Benefits

A Measurable Community BenefitA Measurable Community Benefit

Purpose: Differentiates CDCF to attract funding for smaller, poorer countries and communities

Direct Community Benefit: Community benefits that arise directly and automatically from project implementation

Indirect Community Benefit: paying a premium for ERs to support additional benefits where the project does not automatically and directly improve community welfare

“ “Direct” Community BenefitsDirect” Community Benefits Project Implementation leads directly to:

Improving Community Economic Welfare

• Power supply enables new industry and job creation, higher income, new social and educational services, radio, internet….

Improving Environmental Quality and Health

• Reducing air pollution (severe indoor or outdoor pollution): LPG/kerosene stoves replacing smoky wood, residue, coal/coke fuel for heating and cooking;

• Reducing Water Pollution: removing organic wastes polluting potable water sources (MSW leachate, crop waste to streams, etc)

Issues: are these significant and measurable? How?

Defining outcomes as well as outputs?

Indirect Community BenefitsIndirect Community BenefitsWhere there is no community benefit arising directly and

automatically from a CDCF project……

Is it possible to add a benefit that is also “additional” and has its own baseline, monitoring plan enabling verification/certification

Indirect Benefits could include: Education benefits: schools/materials, teaching services, lighting/power

for schools, internet connections, satellite radio facilities Health Services: clinics/medicines/fridges; regular health service

provision; immunization, basic infectious disease management; Potable water supply, sanitation services

Issues: practicability, affordability, measurement. Who provides the service?

Total Project Financing

Carbon Finance ($4/tCO2e gross) in

nominal lifetime total payments (10-14 year

crediting periods)

Explicit Financing Option for Community Benefit

At $0.50/tCO2 equivalent (project lifetime payment stream; annual payments

for a ten year crediting period)

Large CDCF Project: $10-$ 30mm

$2mm - $10 mm $500,000 - $2.5 mm total;$50k - $250k/year

Medium CDCF Project: $1mm- $10 mm

$200,000 - $3 mm $50,000 - $750,000; $5,000 - $75,000k/year

Small CDCF Project$100,000 - $1mm

$20,000 - $300,000 $5000 - $75,000;$500 - $7500/year

Capacity to afford additional community benefit

Nepal Biogas– Nepal Biogas– Community BenefitsCommunity Benefits

Benefit Type Monitoring Indicator Impact

Latrines Attached to Biogas Plants

Number of toilets attached to the biogas plant

Plants with attached latrines increased from the current level of 70%

By 2009, > 113,400 households will have biogas-attached latrines

Reduction in Kitchen Smoke

Number of respondents reporting a drastic reduction, some reduction, or no reduction in kitchen smoke

Improved indoor quality leading to improved health primarily of mothers and children

Nepal Biogas – Nepal Biogas – Community BenefitsCommunity Benefits

Benefit Type Monitoring Indicator Impact

Incidence of Disease

Number of respondents (male, female, children) reporting recent cases of common illnesses such as eye infection, respiratory disease, cough, diarrhea, dysentery and parasites.

Reduction of such common diseases among both adults and children

Employment Creation

BSP partners including the construction companies, the MFIs, and the banks will provide data indicating the number of employees involved in the biogas program.

>12,000 direct employment for skilled people in marketing, construction, manufacturing, maintenance, credit-lending + many more indirectly

Nepal Biogas – Nepal Biogas – Community BenefitsCommunity Benefits

Benefit Type Monitoring Indicator Impact

Time Saving for Women

number of women reporting increased time spent on activities in the home and outside the home

More time available for child care, for tending to sick family members and to their own health, and to undertaking income generating activities.

Saving of at least 3-hours a day

Firewood Consumption

Seasonal household fuel wood consumption by region.

Nearby forests/community forests conserved.

Saving 2,700 kg of firewood per household annually