USAID/Dominican Republic project assistance completion report : energy conservation and resource development no. 517-0144

Despite bureaucratic delays in obtaining funding from the Central Bank, almost all long-term project objectives were achieved. (1) Assisted by a project consultant, the National Energy Policy Commission (COENER) produced a number of studies leading to a national energy investment plan, including a financial analysis of major proposed energy investment projects, an alternative analysis of electricity supply and demand for the 1985-1995 period, and a macro-economic analysis of the energy investment plan for 1985-1995. The consultant also developed several computer programs useful in analyzing investment scenarios. (2) The project helped COENER promote industrial energy conservation. Grants financed 75% of the costs of 80 energy audits by local consultants, while COENER, though unable to provide much TA to help the firms implement audit recommendations, offered 19 courses in industrial energy management and 4 on energy auditing to a total of 700 participants. A project-financed Industrial Energy Conservation Fund has enabled universities and educational centers to continue offering similar courses; the Fund also financed several energy conservation measures. In other activities, COENER created a registry of authorized energy auditors, and 4 of a targeted 14 energy conservation pilot projects were completed. (3) Efforts to construct mini-hydro facilities proceeded apace, with electro-mechanical equipment supplied to about 90% of the sites selected and civil work contracts completed at about 45%. USAID/DR is currently processing a Dominican Electricity Company (CDE) request to allocate funds for completion of the Yuboa project, which was closed when the PACD was not extended. (4) To promote fuelwood as an alternative energy source, the project financed an R&D program on tree production at 20 sites and built and tested 9 brick kilns for converting wood to energy; this program produced 26 technical notes and 12 B.S. graduation theses. A research program on native forest management resulted in 7 pilot and 30 permanent plots, 4 silvicultural trials, another 10 B.S. graduation theses, and other studies. A credit fund was established in the Central Bank to finance energy farms and COENER signed 10 cooperation agreements with various institutions (universities, communal centers, etc.) to implement pilot energy farms. A seminar was held to disseminate the component's research results to COENER, A.I.D., and other entities. (5) Finally, the project provided TA to upgrade the technical, financial, and planning capabilities of the CDE. Upon project termination, the Technical Secretariat of the Presidency did not renew the contracts of the majority of COENER technicians who worked on the project. This resulted in a standstill of almost all COENER activities and a loss of almost all expertise accumulated during the project. While almost all project-trained technicians are working in other energy-related government agencies or private enterprises, it is recommended that future projects provide TA to government institutions only when personnel have some degree of job security.