Centre for Rural Technology, Nepal

(CRT/N) Bhanimandal, Lalitpur

3/7/2018

INTERACTION WITH LOCAL MICRO FINANCING INSTITUTES FOR UPSCALING EVD CONCEPT

ADVOCATING FOR UPSCALING FOR LOCAL CLIMATE SOLUTIONS AS ECO VILLAGE DEVELOPMENT AS A MEAN TO STRENGTHEN PRO-POOR CLIMATE AGENDA IN SOUTH ASIA

Background Global climate change and continued poverty are probably the two largest, long-term challenges for human development. Both issues have been addressed in recent international agreements, respectively in the UNFCCC Paris Climate Agreement and agreement on UN Sustainable Development Goals (SDGs), both agreed in 2015. Now, the key issue is how to reduce these global problems during the implementation phase of these agreements, where regional and national strategies and actions, as well as financing are crucial. As a densely populated and fast growing region, but still with a large part of the population living in poverty, development of South Asia is strongly linked with these two global issues. It is expected that South Asia’s emerging economies will bring an increase in living standards for many people in the region. However, with emerging economies and expanding populace, greenhouse gas emissions will increase along with the advanced consumerism of the emerging, primarily urban, middle class, and technological development of industries, while the development tends to leave large parts of the rural population in poverty. The two challenges of poverty and climate change can be addressed with one set of solutions, as we in the EVD project are doing with the locally-based eco-village development concept and solutions. After the successful implementation of Evidence Based Advocacy for Low-Carbon Pro-Poor Sustainable Eco Village Development in South Asia (EVD) project (2015-2017), with support from same partners Civil Society in Development (CISU), coordinated by Danish International Human Settlement Services (DIB) and International Network for Sustainable Energy (INFORSE), Centre for Rural Technology, Nepal (CRT/N) has initiated project “Advocating for up scaling for local climate solutions as Eco Village Development as a mean to strengthen pro-poor climate agenda in South Asia” from September 2017. The EVD concept combines a number of solutions for poverty reduction within sustainable energy, water management, agriculture and housing. The solutions have all proven successful individually, and in several cases also together, as promoted in the EVD project. Combined, they can provide the energy and resources needed for a development out of poverty for rural villages with minimal greenhouse emissions, giving a prosperous vision for the future of rural villages. Individually, the solutions can provide for instance cleaner cooking, light or better gardening. Together they can fulfill basic needs and provide energy and resources for increased income generation. The overall objective of the project is to strengthen development for reducing poverty in ways that limit greenhouse gas emissions (mitigate climate change) and adapt to climate change in South Asia by better including local climate mitigation and adaptation solutions in the implementation of the Paris Agreement and relevant SDGs, and as well as in proposals from South Asia for international negotiations such as within the UNFCCC. The EVD solutions are not just technologies, they also include the training and support for permanent use and maintenance as well as other frameworks such as funding mechanisms, in order to have a long-term progression of living standards in a sustainable way. Hence, in collaboration with Bethanchok Rural Municipality, CRT/N organized an interaction

program with the local micro financing institute for up scaling this concept in other part of the Kavre district on 7th March, 2018 at Dhulikhel, Kavre.

Objective

Exchanging information and experience about the project between CRT/N, Bethanchok Rural Municipality, Alternative Energy Promotion Centre (AEPC) and local financing institutes

Encouraging MFIs for the development of innovative financing model to increase access to sustainable solutions, that supports residents to develop their village

Identify the priority environmental cum developmental issue of community and discuss for opportunity in the platform

Facilitation to create environment for up scaling EVD concept and EVD solutions as demanded by community in presence of local government, AEPC and local micro financing institutes working in their own village

Proceeding of the workshop Program began with the introduction of the participants. To give quick information on EVD concept and project, documentary on EVD was shown to all participants. Dr. Purushottam Shrestha, Director, CRT/N briefed about the program schedule and objective of the program. Executive Director of CRT/N Mr. Ganesh Ram Shrestha welcomed all participants. He shared that earlier CRT/N has implemented several renewable energy projects in Kavre district such as programs on Improved Cookstove (ICS), Imroved Water Mill (IWM), and Hydraulic Rampump. Eco-Village Development (EVD) is new concept and EVD project has been implemented in three villages of Kavrepalanchok District; Chyamrangbesi, Dhungkharka and Chalal since 2015. Second phase of project starts from September 2017 and it will end on June 2018. He appreciated and thanked Bethanchok Rural Municipality for their support on our ongoing project. He also expressed his happiness to know that Bethanchok Rural Municipality has recognized this concept as important agenda and included this concept in their local planning process. He requested Micro financing institute and BRM to support for this program and invest on it and stressed that this will definitely give a good return for investor as well as to the local beneficiaries. Also he requested BRM to develop 5 years plan and vision to upscale this concept where CRT/N is ready to provide their technical support whenever required.

Ms. Shovana Maharjan, Project Coordinator, and Mr. Subas Lamichhane, Field Coordinator

for EVD project shared about the EVD project and its successful cases and how it is

supporting in achieving national and international goals of climate and poverty reduction.

After that Mr. Manu Binod Aryal, Head, CREF Secretariat and Dr. Kundan Pokhrel,

Monitoring Officer, Alternative Energy Promotion Centre (AEPC) shared about the AEPC’

working area and support from AEPC for promotion and distribution of renewable

technologies.

Mr. Manu Binod Aryal explained that Centre Renewable Energy Fund (CREF) was formed under AEPC to effectively channel subsidy and credit and to provide technical assistance support through capacity building. The immediate objective of the CREF is to institute the CREF as the core financial institution responsible for the effective delivery of subsidies and credit support to the renewable energy (RE) sector. The CREF Component is designed to establish the CREF as the financial enabler for helping implement the deployment of Renewable Energy Technology (RET) in rural areas based on an enacted legislation to establish the CREF. He highlighted on how local financing institutes and cooperatives can use CREF fund for investing in RETs.

Dr. Kundan Pokhrel Majagaiya shared that AEPC is a Government institution established on November 3, 1996 under the then Ministry of Science and Technology with the objective of developing and promoting renewable alternative energy technologies in Nepal. AEPC has been working in Solar Energy Technology, Solar Thermal Technologies, Biomass Energy Technology, Wind Energy Technology, Biogas Technology, Mini/ Micro Hydro Technology and Biofuel. He emphasized that subsidy and investment from beneficiaries are required for the sustainability of the project. Components under EVD program are similar with the AEPC component. AEPC and micro finance can work together to fund for EVD concept via subsidy and loan. For success of the program, there should be collaboration of CRT/N, MFIs and local government.

Group work and Presentation Group work was facilitated by Dr. Purushottam Shrestha. He divided all participants into 4

groups based upon their affiliation to organization. Hence two groups of Local financing

institutes, 1 group of local community members and 1 group of local government from

rural municipality and ward were formulated.

Following questions were raised for each stakeholder:

Local Community members Priority area in the community to make develop their village as Eco-Village

Local Micro Finance EVD component in which they can invest and how can collaborate

Local Government, Bethanchok Rural Municipality

Priority area for BRM to upscale EVD concept to larger area

Outcome of group work

Community Member Local Government

Local Financing Institutes Group 1 Local Financing Institute Group 2

Community Member Primary Demand

Available Resources

External Funding

Role of Community

Cowshed Management

Temporary pit hole

Cowshed Management, and training

Labor contribution

Organic Vegetable production

Land Training and financial support

Labor contribution

Waste management

Kitchen waste and plastic waste

Training and financial support

Labor contribution

ICS, IWM, Solar dryer

water Financial and subsidy

Partial investment

Priority for Local Government Plastic tunnel, waste collection bin,

cowshed management in every house Micro hydro power production Conservation of forest, medicinal plant

Need Upscaling EVD program in all 6 wards Use of solar light to make all houses load

shedding free Use of solar in school and offices Cowshed management program Plastic free village Bee Keeping in each house Fish Farming Organic Vegetable farming

Points from Local Financing Institutions Conduct Eco-Village Development awareness program

Collaborating with organization working in RETs to provide technical and financial support

Creating conducive environment to channel subsidy and loan for development of RETs

Prioritize investment in EVD component ( biogas, improved water mill)

Support in renewable energy related enterprise (eg, poultry farming, dairy industry)

Coordinate with local government

Collaborate with AEPC, CRT/N

Closing Remarks In the closing remarks by Chairman of Bethanchok

Rural Municipality Mr. Prem Bahadur Timilsina,

thanked CRT/N for initiating this EVD program in

Bethanchok Rural Municipality. He also requested MFIs

to not only focus on agriculture related work, but also

invest in EVD component to develop village as Eco-

Village and develop Bethanchok as first Eco-Rural

Municipality. He also stressed on multi-stakeholder

investment and collaboration for betterment of

community.

Annex 1: Program Schedule

Time Activity Facilitation

10:00-10:15 Introduction All

10:15-10:20 Welcome Mr. Ganesh Ram Shrestha-Executive Director, CRT/N

10:20-1025 Briefing Objective of Program Dr. Purushottam Shrestha, Director, CRT/N

10:25-10:40 Presentation about EVD program Mrs. Shovana Maharjan/ Mr. Subas Lamichhane, CRT/N

10:40-11:00 Tea and EVD Documentary show All

11:00-11:15 Presentation about CREF and AEPC Mr. Manu Binod Aryal/ Dr. Kundan Pokhrel

11:15-12:15

Group work Local Community members Local Micro Finance Local Government,

Bethanchok Rural Municipality

• Priority area in the community to make develop their village as Eco-Village • EVD component in which they can invest and how can collaborate • Priority area for BRM to upscale EVD concept to larger area

12:15-12:30 Conclusion and Thanks Dr. Purushottam Shrestha

12:30-12:40 Vote of Thanks Chairman: Mr. Prem Bahadur Timilsina

12:40-13:30 Lunch and departure All

Annex 2: Participant List S.N Name Address/Organization Designation Contract No. Email 1 Ganesh Ram Shrestha CRT/N E.D 9851063305 ganesh@crtnepal.org 2 Purushottam Shrestha CRT/N Director 9851140544 shresthap2017@gmail.co

m 3 Mr. Manu Binod Aryal CREF 9851104514 4 Kundan Pokhrel AEPC M.O 9851170460 5 Prem Bahadur Timalsina Bethanchok Rural Municipality Chair Person 9851099511 6 Sarita Lamichhane Bethanchok Rural Municipality Deputy Chai Person 9841447532 lamichhane.sarita@yahoo.

com 7 Tek Raj Acharya Bethanchok Rural Municipality officer 9851154211 npaction@gmail.com 8 Dil Bdr. Shrestha Bethanchok R.M-3 Chair Person 9851041838 9 Bhagawan Ghimire Bethanchok R.M-2 Chair person 9841403616 10 Sunaina Shrestha Bhomi Multiporpose.cos Manager 9803813851 nussanaina@gmail.com 11 Rajesh Kumar Giri Nepal Garmin Bikash Bank(Banepa

7) Branch Manager 9847632193 grajesh2036@gmail.com

12 Sunita Tamang Shree Ganesthan Nari chetana(SACO)

Staff 9860024496

13 Bhakta Bahadur Shrestha Samudayak SACCOS Panauti-4 Staff 9851053698 14 Laxmishwor Devkota Mirmire CEO 9844181367 15 Lal Bahadur Shrestha Bethanchok -4 Chair Person 9851001077

5

16 Ram Hari Shrestha Banepa Local Media Reporter 9851130865 17 Shiva Saran Shrestha Bethanchok -2 9851162626

18 Bir Bahadur Tamang Shree Ganesh Pourakhi Krishi Samuha

President 9813086508

19 Som Prasad Dhital Navaprativa Manager 9851077683 20 Somnath Ghimire Bethanchok-1 Chair Person 9843888566 21 Tul Prasad Dahal Gaubari Bijbridhi Samuha President 9866877353 22 Bishnu Prasad Dahal Chakreshwor Bachat Rin Sahakari President 9803610409 23 Shree Ram Roka SLBBL Banepa As. Office 9841504446 shreeramrokka62@gmail.c

om

24 Madan Adhikari Sr. Officer 9851143872

madanadhakari55@gmail.com

25 Saroj Ghimire NNLB Dhulikhel CEO 9851149347 lotusghimoire@hotmail.com

26 Khagendra Badhur Lama Bethanchok R.M -5 Chair Person 27 IP Ghimire Bethanchok R.M -2 Staffs 9851079791 28 Bishnu Tamang Bethan Chok -6 Chair Person 9802017476 dhumo-@yahoo.com 29 Anita Nepal CRT/N Programme

Supporter 9849577415

30 Shovana Maharjan CRT/N Program Officer 9841458322 shovana@crtnepal.org 30 Sumas Lamichhane CRT/N Program Officer 9849469546 lamichane.subas@gmail.co

m