AR RENEW.ENERGY R.MKTS

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The Renewable Energy in the Rural Market Project supports the Country Assistance Strategy (CAS) objectives, promoting private sector investment in the power sector, taking into account appropriate regulatory and policy frameworks. Sustainable environmental management of natural resources is promoted through the public sector modernization. In particular, the Global Environmental Facility (GEF) objectives are to remove market barriers for the dissemination of renewable energy sources, and greenhouse gas emissions will be reduced by replacing domestic uses of energy with renewable energy systems. The project also aims at alleviating rural poverty, particularly at the provincial level. The four main components of the project are: 1) installation of electricity generating equipment for rural markets, either by new or existing concessionaires. Solar home systems and decentralized energy supply will be installed for individual households and public service institutions, and small community households, respectively; 2) installation of Wind Home System (WHS) units in two small rural communities, which will demonstrate the commercial viability and long-run economic potential of WHSs; 3) technical assistance for the power sector reform implementation, and renewable energy sources technology capability; and, 4) technical assistance for the project's administration services.