United Nations Development Program Country: …

1 Removing Barriers to Energy Efficiency in Cape Verdean built environment and for appliances Page 1 United Nations Development Program country : Cabo Verde PROJECT DOCUMENT1 Project Title: Cabo Verde Appliances & Building Energy-Efficiency Project (CABEEP) country PROGRAMME / UNDAF Outcome(s) #4: Institutions reinforce environmental governance and integrate principles of environmental sustainability, climate change and disaster relief reduction; public and private institutions adopt a holistic approach to conservation and protection of critical habitats and biodiversity.

2 Outcome Indicator: a) % of public resources allocated to environment b) number of key sector strategies integrating environmental dimension. undp Strategic Plan Environment and Sustainable Development Primary Outcome: Energy and environment for sustainable Development and green growth undp Strategic Plan Secondary Outcome: Area of Development work: sustainable Development pathways Expected CP Outcome(s):Growth and Development are inclusive and sustainable, incorporating productive capacities that create employment and livelihoods for the poor and excluded Expected CPAP Output (s).

3 Integration of climate change and disaster risk reduction into territorial plans; national institutions and CSO strained and strengthened in environmental management. Executing Entity/Implementing Partner: Directorate General of Energy (DGE) under Ministry of Tourism, Industry and Energy and Directorate General for Environment (DGA) under Ministry of Environment, Housing and Land Use. Responsible Partners: Directorate General of Energy(DGE) 1 For undp supported GEF funded projects as this includes GEF-specific requirements table of Contents SECTION I: SITUATION ANALYSIS.

4 10 country situation .. 10 Energy situation .. 11 Overview .. 11 Electricity 13 Greenhouse Gas emissions in Cabo Verde .. 14 Barrier 15 Legal and Regulatory Barriers .. 16 Institutional 17 Policy Barriers .. 18 Financial Barriers .. 19 Awareness and Knowledge Barriers .. 20 Inadequate data on building energy use .. 20 Stakeholder Analysis .. 22 Baseline analysis .. 28 Domestic Appliances: Baseline .. 28 Baseline Energy use .. 30 Appliances: Business as Usual (BAU) Scenario vs. Alternative Scenario.

5 35 Alternative Scenario .. 36 Buildings Sector: Baseline .. 39 Buildings: BAU v/s Alternative Scenario .. 41 GEF CO2 Calculation Methodology .. 43 Indirect Emissions Reductions .. 43 Water Usage: Baseline .. 43 Water Usage: Alternative Scenario .. 45 SECTION II: PROJECT INTERVENTION STRATEGY .. 46 Project Rationale and Policy Conformity .. 46 Project Goal, Objective, Outcomes and Outputs/Activities .. 46 Project Outcomes, Output and Activities .. 46 PROJECT Indicators, Risks and Assumptions .. 63 Project 63 Risks.

6 63 Assumptions .. 65 2. 5 INCREMENTAL REASONING: EXPECTED Global, National and Local Benefits .. 66 Cost effectiveness .. 67 Sustainability and Replicability .. 67 Replicability: .. 68 Sustainability .. 68 SECTION III: STRATEGIC RESULTS FRAMEWORK AND GEF INCREMENT .. 69 SECTION IV: TOTAL BUDGET AND WORK PLAN .. 76 SECTION V: MANAGEMENT ARRANGEMENTS .. 82 Project Organization Structure .. 82 SECTION VI: MONITORING FRAMEWORK AND EVALUATION .. 84 SECTION VII: LEGAL CONTEXT .. 88 ANNEXURES .. 89 Annex A: List of stakeholders consulted.

7 89 Annex B: Terms of Reference for Key Project Personnel .. 90 Request for Proposal (RFP) Buildings .. 92 Request for Proposal (RFP) Appliances .. 96 Annex C: Emission reduction calculations .. 99 Annex D: Identified Potential Demonstration Project .. 108 Annex E: AGREEMENTS .. 112 119 ANNEX F: Communications and visibility requirements: .. 120 ANNEX G: Direct Project Costs for projects financed from GEF-managed vertical funds and the Adaptation Fund .. 121 DESCRIPTION OF undp country OFFICE SUPPORT SERVICES.

8 123 Annex H: undp -GEF Environmental and Social Screening Procedure (ESSP) .. 124 List of Tables and Figures Figure 1 : Installed generation capacity by technology (2010) .. 11 Figure 2: Sectoral Shares of Total Energy Consumed (2010) .. 12 Figure 3 : Diesel Oil Imports (2003-12) .. 12 Figure 4: CO2 Emissions in 2000(Fraction of total) .. 15 Figure 5 : Typical Residential Energy Use(kWh/yr) .. 29 Figure 6: Appliances Imports by country of Origin(2008-12) .. 29 Figure 7: Air Conditioner (Baseline): Import Volume, Energy Use and tCO2 Emissions.

9 31 Figure 8: Refrigerators and Freezers (Baseline) - Import Volume, Energy Use, and tC2 Emissions .. 31 Figure 9: Electric Water Heaters (Baseline) - Import Volume, Energy Use, and tCO2 emissions .. 32 Figure 10: Televisions (Baseline): Import Volume, Energy Use and tCO2 emissions .. 33 Figure 11: Bulbs (Baseline): Import Volume, Energy Use and tCO2 emissions .. 33 Figure 12: Cumulative Energy Consumption by Appliances (2004-13) .. 34 Figure 13: Annual Energy Consumption (MWh) Cumulative .. 35 Figure 14: Business as Usual Total Energy Consumption By Appliances.

10 36 Figure 15: Air Conditioners BAUv/s MEPS scenario .. 37 Figure 16: Refrigerators and Freezers: BAU v/s MEPS Scenario .. 37 Figure 17: Electric Water Heaters: BAU v/s MEPS Scenario .. 38 Figure 18: Televisions: BAU v/s MEPS Scenario .. 38 Figure 19: Bulbs - BAU v/s MEPS scenario .. 38 Figure 20: GHG Abatement Potential tCO2e by Appliance Category .. 39 Figure 21: Electricity Sales by sector (2012) .. 40 Figure 22: Energy Consumption (MWh) - Buildings Sector (2005-12) .. 41 Figure 23: Business as Usual (energy consumption -MWh).