Blog » Rural Electrification and Renewable Energy Development (RERED) Project (2002)-OBA
Rural Electrification and Renewable Energy Development (RERED) Project (2002)
Output-Based Aid (OBA)
Greenhouse Gases (GHG) Avoided:
Purchase Agreement with CDM to receive carbon financing derived from carbon reduction aimed 1 million SHS installation.
IDA, GEF, KfW, GTZ and latterly GPOBA.
Energy saved due to RE deployment and energy efficient home appliance installed: Today, about 2 million low-income rural households in Bangladesh have electricity delivered by solar power promoted by this program. Bangladesh currently sits the fastest growing solar home system (SHS) program in the world. The project also supported deployment of 10 million energy efficient compact fluorescent lamps (CFLs) in exchange for incandescent lamps.
Description of the RBF Scheme:
Hybrid distribution and usability indicator.
1) A disbursement (output) indicator based on the number of ICS sold meeting a certain pre-defined quality criteria.
2) A multi-tier (outcome) indicator based on the application of the ESMAP proposed approach to measuring access to modern cooking solutions. 3) A hybrid indicator. This approach would separate the RBA payment into two components. One component would be paid proportional to the number of stoves distributed. The second component would be paid out in a way that was proportional to improvements under the multi-tier framework.
Slides: Results Based Financing Mechanisms: Experience from Output Based Aid.
Surge in Solar-Powered Homes: Box 2.1 Accelerating Energy Access in Bangladesh: RERED II