
AAAP in the Media
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Staple Crops Processing Zone (SCPZ): funding proposal to the Green Climate Fund
The target countries of Democratic Republic of the Congo, Ethiopia, Togo and Zambia are regions experiencing high deforestation, poor agriculture yield and increasing poverty exacerbated by climate change. Across all four countries, climate variability and change has become a major threat to sustainable development.
As part of efforts to address these challenges, the four countries are implementing national projects to establish Staple Crops Processing Zones: initiatives designed to concentrate agro-processing activities within areas of high agricultural potential to boost productivity and integrate production, processing and marketing of selected commodities. These initiatives are purposely built shared facilities, to enable agricultural producers, processors, aggregators and distributors to operate in the same vicinity to reduce transaction costs and share business development services for increased productivity and competitiveness.
Developing adequate infrastructure (energy, water, roads, ICT) in rural areas of high agricultural potential should attract investments from private agro-industrialists/entrepreneurs to contribute to the economic and social development of rural areas.
The Staple Crops Processing Zone (SCPZ) development program aims to transform agriculture production in regions experiencing high deforestation, poor agriculture yield and increasing poverty exacerbated by climate change, including the target countries of Democratic Republic of the Congo, Ethiopia, Togo and Zambia.
The specific objectives of SCPZ are: (i) improving access to seed capital through grants and matching grants; (ii) supporting productivity enhancement through introduction of new technologies and agricultural inputs; (iii) improving access to infrastructure by supporting investment; (iv) improving the capacity of producer cooperative through training and TA, especially for targeted women and youth groups; (v) facilitating market linkages throughout-growers’ schemes; and (vi) facilitating on-farm value addition by targeting limited value chains and linking farmers to the supply chain.
GCF financing is sought to strengthen one of the project components of SCPZ in Democratic Republic of the Congo, Ethiopia, Togo and Zambia.
- Through the technical assistance program, AAAPwill accelerate the mobilization of adaptation finance.
- Increased carbon sinks in soil and above-ground biomass
- Reduced carbon dioxide/other greenhouse gas emissions from farms due to efficient energy use
- Increased renewable energy production from biomass, either as a substitute for fossil fuels or as a replacement for burning of fuel wood or crop residues
- Fewer incidents of bare soils, reduced soil erosion and increased water percolation.
- Reduced emissions through low-emission energy access and power generation
- Reduced emissions due to improved waste management, including by recycling waste and use of waste in biogas systems
- Reduction of emissions from land use and deforestation, and enhancement of forest carbon stocks.
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Increased resilience, including to extreme events such as droughts and floods, and enhanced livelihood of about 55% of highly vulnerable people and communities
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Increased access to better health and wellbeing, and food and water security to over 100,000 beneficiaries, in addition to provision of alternative sources of energy
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Increased resilience of ecosystems and ecosystem services in forests and savannas
USD 427 million:
- Funding proposal to GCF seeking USD 174.02 million (USD 130.02 million grant and USD 44 million loan)
- AfDB providing USD 111.2 million (USD 85.2 million loan and USD 26 million grant)
- Co-financiers:
European Union, USD 10.4 million (grant)
BOAD, USD 17.6 million (loan)
Korea Exim Bank, USD 50 million (loan)
Korea Fund, USD 5 million (grant)
Islamic Development Bank, USD 31 million (loan)
Governments of target countries, USD 28 million (counterpart financing)
The Desert to Power G5 Sahel Financing Facility
The Sahel region faces more challenges to achieving sustainable development in the face of poverty, insecurity and climate change than perhaps any other. The region also includes five of the ten poorest nations in the world (Burkina Faso, Chad, Mali, Mauritania, and Niger). Together these form the G5 Sahel, where more than three quarters of the 86 million people who live there have no access to electricity.
This region also has some of the highest solar energy irradiation and photovoltaic potential in the world, though economic development is constrained in part by the energy supply gap. To take advantage of this opportunity, the Desert to Power G5 Sahel Financing Facility aims to tap this ‘free’ resource by increasing solar power generation and electricity access, while addressing structural challenges in the energy sector.
The overall aim is to assist G5 Sahel countries to adopt low-emission solar power generation through independent power producers and energy storage solutions. Investments are to be supported by technical assistance, gender and climate mainstreaming, and encouraging private sector buy-in.
- Add 500 MW of additional solar generation capacity, and connect 695,000 households to an electricity supply.
- Ensure low-emission development to mitigate effects of climate change, by directly reducing emissions by 14.4 Mt CO2e over 25 years.
- Strengthen regional grid management capacity by building human, social, and institutional capital.
- Create harmonized gender-responsive regulatory frameworks for the electricity sector to lower investment barriers and promote gender-responsive approaches.
- Contribute to improving the quality of life of women and men through more sustainable, reliable and affordable energy access by households and workplaces, and supporting productive uses of electricity, industrialization, and basic public services such as health and education.
- Expand opportunities for manufacturing and industries to provide employment and build prosperity.
The Facility is a part of the broader Desert to Power Initiative, that by 2030 aims to light up and power the Sahel region by adding 10 GW of solar generation capacity and provide electricity to 250 million more people in 11 countries from Senegal to Djibouti.
- Rapid climate risk assessment of transmission systems to provide insights to the location of solar plant
- Upstream capacity building through a regional Masterclass on Climate-Resilient PPPs
- Climate risk assessment to quantify impacts of climate hazards on assets, services, and people
- Adaptation and resilience investment options appraisal, to identify and prioritize adaptation and resilience options and present recommendations of investment for each project;
- Advisory services for results and evidence-based planning, management and M&E of interventions
- Improved investment climate and a sustainable market for independent solar power producers created.
- knowledge and technology transfer facilitated to create opportunities for SMEs in the value-chain.
- Environmental co-benefits driven to increase access to electricity and reduce the need for firewood, reduce deforestation and build resilience to climate change.
- Countries in the Sahel region enabled to transform desert areas into an opportunity to meet their energy needs using clean technologies while delivering multiple adaptation co-benefits.
- Strengthened capacity of national institutions in G5 Sahel countries to ensure long-term sustainable ilitydevelopment of their national renewable energy sectors.
- Reliable environment for private sector solar project financing created.
AfDB investment USD 379.6 million
Total of USD 966.7 million
Amount: AfDB investment of USD 379.6 million, of a total of USD 966.7 million
Reinforcing Resilience to Food and Nutrition Insecurity in the Sahel (P2-P2RS)
The Sahel, which lies between the Sahara Desert to the north and tropical savannas to the south, is one of the largest semi-arid/arid sub-regions globally. As such, the region is highly vulnerable to climate change and other uncertainties. The impacts of climate change may have critical socio-economic consequences for the Sahel, including poor agricultural yields, increased frequency of natural disasters. Already, the number of people in the Sahel suffering from chronic food and nutrition insecurity, poverty and vulnerability to the effects of climate change is rising steadily.
A lasting solution to food and nutrition insecurity in the Sahel requires building resilience to climate change, long-term agricultural sector financing and developing trade and regional integration. Sustained, longer-term investments in household resilience can significantly reduce the cost of emergency assistance, ultimately breaking the cycle of recurring famine. This is the most cost-effective intervention option which meets the basic needs and preserves the dignity of the populations of the Sahel. This idea is central to the Programme to Build Resilience to Food and Nutrition Insecurity in the Sahel (P2RS)
The overall objective of the P2-P2RS is to contribute to the substantial improvement of the living conditions and the food and nutritional security of the populations of the Sahel region.
Specifically, the program aims to i) strengthen the resilience to climate change of agro-sylvo-pastoral producers, including through promotion of climate-smart agricultural technologies in the Sahel and the development of climate intelligent villages; ii) develop the agro-sylvo-pastoral value chains, including through the development and improvement of hydro, meteorology and climate services; and iii) support regional institutions (CILSS, APGMV, CCRS) to strengthen adaptive capacity in the Sahel.
- Design digital adaptation solutions (Digital Climate Advisory Services, DCAS) for the Sahel context
- Investment readiness and infrastructure, institutional and farmer capacity needs for DCAS
- Feasibility study to integrate DCAS into agricultural extension and agrometeorological advisory to smallholder farmers and pastoralists
- 1 million rural households have access to digital or data-enabled climate-smart technologies
- 500,000 smallholders have adopted adaptation practices
- 5 million smallholders have access to climate services;
- Development and improvement of hydro, meteorology and climate services
- The development of climate-intelligent villages
- Promotion of climate-smart agricultural technologies in the Sahel
- Resilience to food and nutrition security built for the targeted populations
USD 300 million