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Projects : Biogas Programme Nicaragua (PBN)

Through the Biogas Programme Nicaragua (PNB) the programme proponent, Unidad de Gestión del PBN (UGP), aims to develop and establish a sustainable biogas sector in Nicaragua. The programme will promote the acquisition and construction of biodigesters at households with livestock. Use of the biogas for cooking and lighting will reduce greenhouse gas emissions by displacing non-renewable biomass and fossil fuels (kerosene) and reducing methane emissions from manure. It will also develop a few applications of biogas for milk production improvements, mainly directed at hygienic conditions of dairy production. In addition, it will improve the living conditions of women and children, support sustainable livestock practices and provide access to organic fertilisers. Furthermore the programme will provide a framework to other biogas initiatives in Central America to benefit from carbon finance. The Programme also aims to be registered under the Gold Standard.

The programme aims to create new jobs and a new business sector. It will contribute to local development by involving locally trained installers, contractors and masons who are supported by vocational training institutions. Also rural development NGOs, dairy cooperatives as well as governmental and private agricultural and live-stock extension services are integrated in the programme. During the last 30 years different biogas projects have been implemented in Nicaragua but none has been successful so far. Reasons for failure include: lack of technological knowledge, lack of access to finance and the absence of support to a long term, market-oriented perspective of the biogas sector.

The proposed Programme aims to initially install 8,000 biogas systems between 2012 and 2016. It stimulates nationwide adoption of biogas technology through (i) capacity development targeting households and small-farms, construction service providers (CPOs) and equipment suppliers, (ii) the provision of an investment subsidy to the households for the purchase of the biogas systems, and (iii) the provision of low-interest loans for biogas systems acquisition through financial institutions to households.

The expected emission reductions of the programme over a 10 year credit period amount to 199,385 tCO2e.

Climate Focus is supporting the programme to achieve CDM and gold standard registration, and will support the programme with future generation of carbon credits.