UN Division for Sustainable Development

Case Study Detail Record

Organization type:	Government

Name of Ministry/Agency:

Country:	Mexico

Initiative Title:	Mexican Rural Electrification Programme

Internet links:

Scope:

Status:	Ongoing

Timeframe:	Start: End:

Lead Institution:	Energy Ministry Mexico

Stakeholders/Partners:	World Bank Global Environmental Fund Budget Ministry Social Development Ministry (SEDESOL) National Commission for the Development of the Indigenous Communities (CONADEPI) United States Agency for the International Development (USAID) State and Municipal Governments of the States of Guerrero, Oaxaca, Chiapas and Veracruz

Relevent issues:	- Increasing access to energy for the poor

Objectives/Challenges:

The objective of this programme is to electrify rural and indigenous communities in the states of Guerrero, Oaxaca, Chiapas and Veracruz using renewable energy powered energy solutions associated with productive activities in the pilot localities.

More specifically, the programme is also aimed: 1) To ensure the involvement, including resources needed for implementation of projects, of the State and Municipal governments; 2) To Identify communities and its needs, and design of projects ensuring involvement of local people.

Lessons Learned:

The Programme faced difficulties in identifying the best areas to develop the first phase of the Programme, because of the lack of understanding and, in some cases, lack of interests from the local governments. Also linked with this were difficulties in obtaining the resources for the Programme from the State and Municipal governments.

In planning energy solutions for poor communities far from the electric grid, it is very important to include the inhabitants in the planning process and design of alternatives, as well as to include, together with the house services, solutions for productive activities.

The participation of the local government, both State and Municipal, in the funding of the projects, and the pay of the services by the community is a key issue, very important as a way to ensure they are aware of the importance of the programme and the need for taking care of the systems.

The solution to energy problems is unique in each community and must be adapted to the respective needs of the population.

Summary:

This programme is designed to electrify rural and indigenous communities in the states of Guerrero, Oaxaca, Chiapas and Veracruz using renewable energy powered energy solutions associated with productive activities in the pilot localities. This project will operate with mix funds as follows: GEF donation -15MUSD, IBRD loan-15MUSD, Others (GVEP, PHRD, etc.) 1MUSD, States and Municipalities investment of 30MUSD, Other Federal Investments 4MUSD and private investment 10MUSD For a total of 105MUSD. Resources from Federal, State and Municipal Governments, linked to donation and private investment. SENER has organized 4 workshops oriented to evaluate the status of rural electrification in Mexico and assess the possibilities for the programme throughout the country. As a result of those events, in which more than 350 people participated, including technicians, government representatives from the 3 levels (federal, state and municipal), NGOs, private companies and representatives from the communities, SENER obtained a series of recommendations based in which the strategy was designed. As part of the workshops SENER trained technicians from several States in specific tools for the planning and design of energy solutions in the rural areas. Specific aspects regarding RE applications for rural communities are included in the Renewable Energy Law, as a way to make mandatory for the federal government to devote resources to this aspects and work together with local governments and communities. The first phase, designed for the already mentioned stated, will be replicated in others during the next phases, increasing also the coverage.