Although mini-grids are often boxed as a “pre-electrification” intervention, there is increasing evidence showing that mini-grids can achieve grid parity. Further, in countries that allow mini-grids to feed in electricity to the central grid, mini-grids have actually made the central grid more reliable!
Hydro mini-grids especially meet these scenarios, providing 24-hour reliable electricity, typically at lower LCOE and costs per kW than most other types of mini-grids, and leading to lower tariffs for rural consumers. Thereof, hydro mini-grids are generally financially viable for motorized loads (e.g. agri processing productive end use) and for feeding into the central grid.
Despite their obvious advantages, in most developing contexts decentralized renewable energy mini-grids continue to be framed as “pre-electrification” solutions at par with solar home lighting, or “not as important as the central grid.” Often mini-grid development is housed in a separate and less influential ministry, while the central grid authorities have ultimate power and financial resources. Such a fragmented approach leads to:

• Redundant electrification interventions, and therefore wasteful use of funding resources;
• Confusion on timing of arrival of the central grid, which severely hampers the scale-up of mini-grids;
• Abandoned mini-grids and loss of investment upon the arrival of a reliable central grid;
• Business-as-usual of an intermittently reliable central grid, typically powered by fossil fuels or large hydro, in today’s age of climate crisis.

Side Event 2

SDG Pavillon

December 6th, 13:30-14:45

"Transformative potential of small-scale energy access investments: linking community action to SDGs and NDC implementation"

With the current state of affairs, it is unlikely that SDG 7 as a policy objective will be achievable until at least 2030. However, the coming 3 years will be crucial for the implementation of the Paris Agreement. Off-grid solutions have the potential to create the necessary impact for achieving the goals but, at present, only 30 countries are actively considering these options (RLI 2019).

In this context, this COP25 side event aims to highlight local community action and small-scale energy solutions, which often remain unnoticed or not considered in the national ambitions. Appropriate and proven local solutions are laying the groundwork of new infrastructure at the community level, addressing energy service needs of rural, urban and remote communities and entrepreneurs, who cannot be served by the central grid in case of electricity or centralized distribution systems in case of cooking and heating fuels. There is a wealth of good practices and experience among local energy practitioners that might make a greater contribution to improving access to energy and enriching the NDCs.

The event will feature experts and energy practitioners exploring practical ways of anchoring national and global policies and commitments in the local context as well as opportunities to amplify local knowledge and innovation through larger policy frameworks. The event will be organized in the form of interactive panel with panel member:

• Carmen Dienst, Head of Research Unit “International Energy Transitions”, Wuppertal Institute, Germany
• Willington Ortiz, WISIONS Regional Coordinator, RedBioLAC (Latin America)
• John Kioli, Kenya Climate Change Working Group & ACCESS Coalition (Kenya) 
• Mara Gomez, Co-benefits expert, Institute for Advanced Sustainability Studies, Germany 
• Bahareh Seyedi, Global Energy and Climate Policy Adviser, UNDP
  

Moderator: Angelica Shamerina, Climate Change Program Adviser, SGP