Transforming the Charcoal Sector
The project builds cases on district levels that formalize and regulate a sustainable, energy efficient charcoal value chain, increase incomes of the charcoal producers, generate revenues to the villages for the benefit of the whole community and ensure that the Village Forest Reserves are maintained and harvested sustainably. The promotion of the piloted system is to result in increased resilience to climate change and a reduced rate of deforestation.
Country/region | Topic | Period | Budget |
---|---|---|---|
Tanzania |
Climate change and environment Employment & economic development
Biosphere protection
SME development Environmental policy |
01.01.2011
- 30.04.2016 |
CHF 2’910’000
|
- 2,000 charcoal producing households and 3,000 small-scale farmers in Kilosa and Mpwapwa districts of Morogoro and Dodoma regions respectively (Central Corridor)
- Academics, policy advisors and -makers nationwide
- Component 1 – Sustainable Charcoal: Commercially viable and pro-poor value chains established for legal and sustainably sourced charcoal by applying the “making markets work for the poor approach (M4P)”
- Component 2 – Biomass Energy-related Research, Knowledge Management and Governance: Credible data and analysis communicated through coordinated advocacy leading to more biomass-friendly governance and policies in Tanzania’s energy sector
- Foreign private sector South/East
-
Sector according to the OECD Developement Assistance Commitiee categorisation GENERAL ENVIRONMENT PROTECTION
INDUSTRY
GENERAL ENVIRONMENT PROTECTION
Sub-Sector according to the OECD Developement Assistance Commitiee categorisation Biosphere protection
Small and medium-sized enterprises (SME) development
Environmental policy and administrative management
Cross-cutting topics The project promotes biodiversity.
The project takes account of gender equality as a cross-cutting theme.
The project takes account of democratisation, good governance and human rights as cross-cutting themes.
Type of support Official development assistance (ODA)
Type of collaboration Bilateral cooperation
Finance type Aid grant
Aid Type Project and programme contribution
Tied/untied aid Untied aid
Project number 7F07802
Background |
Tanzania’s dependence on biomass to meet its energy needs is tremendous. 130 million m3 of solid wood are consumed annually for charcoal and fire-wood by 96% of Tanzanian households. Due to very weak sector governance, trees are felled and converted into charcoal in an unsustainable and inefficient way, with devastating effects on the environment. In response, Tanzania began piloting the REDD approach (Reducing Emissions from Deforestation and Forest Degradation) for climate change mitigation and adaptation, sustainable forest management and community poverty reduction. In general, policy-makers have rather negative perceptions towards biomass energy, advocating for a costly switch to fuels perceived as more modern such as electricity and LPG. |
Objectives |
Delivering sustainable development and benefits to rural communities in Tanzania through improved climate change mitigation from reduced deforestation and greenhouse gas emissions, through enhanced environmental sustainability from better biomass harvesting and through leveraged returns on biomass resources from carbon credit sales, and through more efficient production technologies and biomass energy-friendly energy sector policies. |
Target groups |
|
Medium-term outcomes |
Outcomes (objectives) of the phase: |
Results |
Results from previous phases: Previous efforts by SDC and others to introduce sustainable charcoal in Tanzania failed as they were often supply-side driven. It is now apparent that premium, high-priced market segments must be identified and targetted to turn community-sourced charcoal into legal, pro-poor and sustainable value chains. Introducing community-based forest management (CBFM) concepts within a REDD framework takes time, so building upon existing CBFM projects is vital. Convincing high-level decision- and policy-makers of the critical importance of biomass fuels for Tanzania’s socio-economic development may be very challenging. Long-term research evidence-based advocacy work is therefore required to reach their “hearts and minds”. |
Directorate/federal office responsible |
SDC |
Credit area |
Development cooperation |
Project partners |
Contract partner Private sector |
Budget | Current phase Swiss budget CHF 2’910’000 Swiss disbursement to date CHF 2’832’593 |
Project phases |
Phase 3
01.12.2019
- 31.12.2023
(Completed)
Phase 2
01.12.2015
- 31.03.2020
(Completed)
Phase 1 01.01.2011 - 30.04.2016 (Completed) |