USAID-GOP nonconventional energy development project : an evaluation

External final evaluation covers the period 12/81-6/86 and is based on site visits, document review, and interviews with project and other involved personnel. Despite early management miscalculations about the kinds of NET'S to be demonstrated and problems with equipment reliability and delayed funding, the project has been successful in reducing Philippine dependence on imported oil. It has funded 26 subprojects (SP's), 16 of which are devoted to research and demonstration of NET's involving, e.g., solar and bioconversion, wind energy, hydropower, and cogeneration. Some of the early SP's did not match well with local conditions or needs, but project management was flexible enough to adjust plans and correct early mistakes. SP selections has become increasingly needs- (as opposed to technology-) driven, following a 1982 decision to emphasize the commercialization of NET's. In all, 11 SP's have been completed, with progress generally good. The project's institution-building accomplishments are impressive, and include: enhancement of the Bureau of Energy Development (a fledgling institution when the project began) and of other important energy research and education institutions; strengthened program management skills; and the design of new social arrangements and/or institutions for the management of NET's. Promotion of NET's to the private sector has also been fairly successful, although much remains to be done in this area. Among the lessons learned are that NET projects should: (1) conduct thorough background research - into the quality of TA, capability of the project implementor, effectiveness of the institutional arrangements, local sociopolitical conditions, availability of financing, product cost and price, and acceptability of the product by end users - before committing funds for the demonstration of NET's in the field; (2) adopt a needs-driven approach to technology development (which should be viewed in the context of the community development); (3) research and pilot-test NET's before attempting field demonstrations; and (4) document and disseminate the results of NET demonstrations. Also, rural projects require sensitivity by implementors to local needs, as well as local participation in project planning and implementation. For USAID/P's summary of the evaluation and its consequent action decisions, see the abstract of PD-AAV-410.