Download Community Benefits - Carbon Finance at the World Bank

Community Development Benefits
A Measurable Community Benefit
 Purpose: Differentiates CDCF to attract funding
for smaller, poorer countries and communities
 Direct Community Benefit: Community
benefits that arise directly and automatically
from project implementation
 Indirect Community Benefit: paying a
premium for ERs to support additional benefits
where the project does not automatically and
directly improve community welfare
“Direct” Community Benefits
 Project Implementation leads directly to:

Improving Community Economic Welfare
• Power supply enables new industry and job creation, higher income,
new social and educational services, radio, internet….

Improving Environmental Quality and Health
• Reducing air pollution (severe indoor or outdoor pollution):
LPG/kerosene stoves replacing smoky wood, residue, coal/coke fuel for
heating and cooking;
• Reducing Water Pollution: removing organic wastes polluting potable
water sources (MSW leachate, crop waste to streams, etc)
 Issues: are these significant and measurable? How?
 Defining outcomes as well as outputs?
Indirect Community Benefits
Where there is no community benefit arising directly and
automatically from a CDCF project……
 Is it possible to add a benefit that is also “additional” and has its
own baseline, monitoring plan enabling verification/certification
 Indirect Benefits could include:



Education benefits: schools/materials, teaching services, lighting/power
for schools, internet connections, satellite radio facilities
Health Services: clinics/medicines/fridges; regular health service
provision; immunization, basic infectious disease management;
Potable water supply, sanitation services
 Issues: practicability, affordability, measurement. Who
provides the service?
Capacity to afford additional community benefit
Total Project Financing
Carbon Finance
($4/tCO2e gross) in
nominal lifetime total
payments (10-14 year
crediting periods)
Explicit Financing Option
for Community Benefit
At $0.50/tCO2 equivalent
(project lifetime payment
stream; annual payments
for a ten year crediting
period)
Large CDCF Project: $10-$
30mm
$2mm - $10 mm
$500,000 - $2.5 mm total;
$50k - $250k/year
Medium CDCF Project:
$1mm- $10 mm
$200,000 - $3 mm
$50,000 - $750,000;
$5,000 - $75,000k/year
Small CDCF Project
$100,000 - $1mm
$20,000 - $300,000
$5000 - $75,000;
$500 - $7500/year
Nepal Biogas–
Community Benefits
Benefit Type
Monitoring Indicator
Impact
Latrines Attached to
Biogas Plants
Number of toilets attached to the
biogas plant
Plants with attached latrines increased
from the current level of 70%
By 2009, > 113,400 households will have
biogas-attached latrines
Reduction in Kitchen
Smoke
Number of respondents reporting
a drastic reduction, some
reduction, or no reduction in
kitchen smoke
Improved indoor quality leading to
improved health primarily of mothers and
children
Nepal Biogas –
Community Benefits
Benefit Type
Monitoring Indicator
Impact
Incidence of
Disease
Number of respondents (male, female,
children) reporting recent cases of common
illnesses such as eye infection, respiratory
disease, cough, diarrhea, dysentery and
parasites.
Reduction of such common diseases
among both adults and children
Employment
Creation
BSP partners including the construction
companies, the MFIs, and the banks will
provide data indicating the number of
employees involved in the biogas program.
 >12,000 direct employment for skilled
people in marketing, construction,
manufacturing, maintenance, credit-lending
+ many more indirectly
Nepal Biogas –
Community Benefits
Benefit Type
Monitoring Indicator
Impact
Time Saving
for Women
number of women reporting increased
time spent on activities in the home and
outside the home
More time available for child care, for tending to
sick family members and to their own health,
and to undertaking income generating
activities.
 Saving of at least 3-hours a day
Firewood
Consumption
Seasonal household fuel wood
consumption by region.
Nearby forests/community forests conserved.
 Saving 2,700 kg of firewood per household
annually