Small Decentralized Renewable Energy Power Generation - DREG

Background

The Small Decentralized Renewable Energy Power Generation Project, also known as DREG, is funded by the Global Environment Facility (GEF), is to be nationally executed by the Ministry of Energy and Water (MoEW) of the Government of Lebanon in coordination with the Lebanese Center for Energy Conservation (LCEC), and is to be implemented by the United Nations Development Programme (UNDP).

 

Achievements & Expected Results

The project aims at reducing greenhouse gas emissions through the removal of barriers to widespread application of decentralized renewable energy based power generation which will be achieved through the following three outcomes:

1. Investments in decentralized renewable energy (RE) power generation increased a.The project will provide co-financing for the selected projects in the form of a grant

b.Project ranking will follow the “best value for money” approach: projects requesting the smallest grant contribution per the projected kWh to be generated are prioritized for support

c.Provision for the establishment of a longer-term financing mechanism which can sustain market growth after by approaching eventual complementary Government and donor grant funding and by facilitating the development of a proposal for an RE-based NAMA

 

2. An enforced supportive policy and regulatory environment for attracting investments for privately owned, grid-connected power generation by RE sources by addressing the following topics:

a.Updated and harmonized technical guidelines for connecting different types of RE plans into the grid by private producers and for ensuring problem-free operation

b.The conditions for selling electricity to the grid, addressing issues such as required licenses, purchase obligations of the utility, mechanisms for setting up feed-in tariffs and other financial and/or fiscal support mechanisms

c.Net/smart-metering and the required changes in the construction and building norms and regulations to facilitate better integration of RE into buildings’ energy supply

d.The quality control of products and services available in the market

e.Sample documents to guide the project developers and investors to apply for the required licenses and financial support

 

3. Monitoring and quality control for RE-based decentralized power generation established and operational a.Raise awareness of what decentralized RE PG can offer to stakeholders

 

b.Ensure quality of the  products and insta !lations through an effective quality control system and  increased consumer awareness

c.Establish a market monitoring methodology to keep  track of the  annual sales, installed capacity,cost, and  annual electricity supply contribution of RE systems

d.Installations quality control: Education and training, with  the help  of universities and professional schools,are required in order to produce a skilled workforce capable  of  producing work  which  is ready  to  be evaluated by the to-be-created certification and  inspection schemes

e.Eva luation of testing facilities and training opportunities in order to optimally put  the budget for testing and training into

Donors



Donors Amount
GEF $1,450,000.00
UNDP $125,000.00
TOTAL $1,575,000.00

Liban Cables Solar PV Project - UNDP DREG

The 601 kilowatt-peak solar power plant is co-financed by the Global Environment Facility (GEF) and Liban Cables through the Central Bank’s NEEREA loan programme and implemented by the UNDP DREG Project in partnership with the Ministry of Energy and Water. The project consists of 1,908 solar (photovoltaic) panels generating approximately 938,000 kilowatt-hours per year, contributing to significant cost savings at Liban Cables as well as a subsequent reduction of greenhouse gas emissions of 751 tons per year. This green energy will cover over 8% of the electricity needed by the plant to produce a wide range of building, industry and infrastructure cables.

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