Status of GET FiT roll-out to other countries
Recognizing the positive experiences with the GET FiT Program in Uganda, public sector stakeholders in other parts of the continent have indicated interest to explore the potential of similar programs in their countries. Private developers, investors, financing institutions and technology providers have confirmed that the approach applied in Uganda has been particularly valuable and should be rolled out to other markets.
Accordingly, with financial support from the UK Government, KfW initiated market assessment studies to consider the interest and potential for a GET FiT intervention in 10 countries in Eastern, Southern and Western Africa in 2015. Thus, a consultancy consortium comprising Multiconsult ASA and the FS-UNEP Collaborating Centre for Climate and Sustainable Energy Finance, undertook market assessments in Ghana, Malawi, Mali, Nigeria, Kenya, Rwanda, Mozambique, Namibia, Tanzania and Ethiopia.
The overarching aims of the 10-country market assessment and comparative analysis were:
- Independently assess the readiness, political-will and economic justification which could motivate and underpin a GET FiT program implementation in each individual country.
- Prepare recommendation as to prioritization of the countries, based on a comparative analysis framework and consideration of funders’ priorities.
- Based on the above, gain insight into the key barriers and provide a tentative outline for a GET FiT program, including potential country-specific tool-box and timeframes.
The studies showed that although there are some clear sector commonalities across most of the markets, there exists significant variation with regards to the rational, appropriate tool-box and optimal implementation design. These findings confirm that a "one-size-fits-all” approach would not be appropriate as GET FiT expands to other countries.
During 2016, Programme Concept Notes will be developed for those markets that were identified as most suitable for GET FiT. KfW will lead this process in close collaboration with the respective governments, donors and local stakeholders. These PCNs will test the hypothesis that the programme is sufficiently flexible so as to effectively address key barriers in different markets and contexts.
In Zambia, preparations for the GET FiT Programme are advancing well. The basic framework of the Programme has been agreed with the Zambian Government. The GET FiT Zambia Programme aims at supporting small RE projects (1-20 MW; solar PV, hydro and biomass) with a total capacity target of 200 MW. It contains the following components: 1) Tariff Support, 2) Standardised legal documentation, 3) Risk Mitigation, 4) TA Facility and 5) Support for Grid Integration. Due to the current electricity crisis in Zambia, it is envisaged to fast track a Solar PV auction under the GET FiT Programme in 2016.
A GET FiT Coordinator has been engaged to support the further preparation and implementation of the GET FiT Programme in 2016 and to be a first point of contact for any interested stakeholders.
Finally, in Vietnam, KfW on behalf of the German Government (BMZ) is financing studies to assess the feasibility of a renewable energy development facility following the GET FiT model.