The Impact of Small Scale Biogas Technology on Household Income and Health in Ada'a Woreda, Oromia Region, Ethiopia

Contents

Acknowledgment

List of tables

List of figures

List of Appendexis

List of Acronyms

CHAPTER 1: INTRODUCTION
1.1. Background
1.2. Statement of the Problem
1.3. Objective of the Study
1.3.1. General Objective
1.3.2. Specific Objectives
1.4. Significance of the Study
1.5. Scope and Limitation of the Study
1.6. Ethical Consideration
1.7. Organization of the Paper

CHAPTER 2: LITERATURE REVIEW
2.1. Energy, Sustainable Development and Biogas
2.1.1. The Concept of Energy
2.1.2. Interface between Energy and Sustainable Development Goals
2.1.3. What is Renewable Energy?
2.1.4. Energy and Biogas in Ethiopia
2.2. Theoretical LiteratureReview
2.2.1. Household Energy Transition in Developing Countries
2.2.1.1. The Energy ladder
2.2.1.2. Energy Stacking Model
2.2.1.3. Energy Leapfrogging
2.3. Empirical Related Review
2.3.1. Health benefits of Biogas
2.3.2. Biogas and Household Income
2.4. ConceptualFramework Model

CHAPTER 3: RESEARCH METHODOLOGY
3.1. Description of the Study Area
3.2. Study Design
3.3. Data Sources
3.4. Sample Size Determination and Sampling Techniques and Procedures
3.4.1. Sample Size Determination
3.4.2. Sampling Techniques
3.5. Tools of Data Collection
3.6. Data Processing and Analysis
3.6.1. Descriptive Data Analysis
3.6.2. Econometric Analysis
3.7. Description of variable

CHAPTER 4: RESULT AND DISCUSSION
4.1. Descriptive Statistics and Discussion
4.1.1. Social-economic and Demographic Characteristics of Respondents
4.2. Econometrics Analysis

Chapter 5: CONCLUSIONS AND RECOMMENDATION
5.1. Conclusions
5.2. Recommendation

Reference

Appendix

Appendix 1: Propensity Score Matching (PSM) and Average Effect with Matching Effect

Appendix 2: Conversion factor for TropicalLivestockUnit (TLU)

Appendix 3: Questionnaire for Biogas User Households

Appendix 4: Questionnaire for Non-User Households

List of tables

Table 1: List of kebeles and number of biogas users in Ada’a Woreda. (Source: NBPE, 2017)

Table 2 Proportional Sample Size determination in each sample kebeles.

Table 3: Sample size of user and non-user households

Table 4Descriptive Statistics of Dummy/Categorical Variables

Table 5Continuous/discrete Variables

Table 6 Reasons to installation biogas technology

Table 7 Reasons for liking small scale biogas technology

Table 8 reason for disliking small scale biogas technology

Table 9 Estimation of propensity score: Probit Model

Table 10 The average Treatment effect on Treated (ATT)-Income.

Table 11 Average Treatment Effect on Treated- health

List of figures

Figure 1 the classic Energy Ladder (Three dimensional energy profile: A conceptual framework for

Figure 2 Energy Stacking Model- Source Schlag and Zuzarte, 2008.

Figure 3 Conceptual framework (own construction)

Figure 4: Study Area Map

Figure 5 common support treatment and untreated group

List of Appendexis

Appendix 1: Propensity Score Matching (PSM) and Average Effect with Matching Effect

Appendix 2: Conversion factor for TropicalLivestockUnit (TLU)

Appendix 3: Questionnaire for Biogas User Households

Appendix 4: Questionnaire for Non-User Households

List of Acronyms

Abbildung in dieser Leseprobe nicht enthalten

Abstract

The Impact of Small Scale Biogas Technology on Household Income and Health in Ada’a Woreda, Oromia Region, Ethiopia.

Woubakal Tesfaye Beyene

Addis Ababa University, 2018

Access to modern energy is a key element in rural development. This thesis identified the Impact of Small Scale Biogas Technology on Household Income and Health in Ada’a Woreda, Oromia Region, Ethiopia. 9 kebeles were purposively selected where there are high numberof biogas users. The descriptive statistical significances and the association of the dummy and continuous variables with the dependent variable were tested using chi-square and t-test. Propensity score matching was used to assess the impact small scale biogas technology has on health and income of household. The study found out small scale biogas technology is favorable among users due to; subsidy form the government; relatively cheap comparing to other fuel sources; as it considers the health economic and environmental benefits; as it saves fuel; it being smokeless; its durability; the fact that it cooks quickly; as it effectively uses waste from farm and produces compost for farm use. The result from Propensity score matching indicated that small scale biogas technology has a significant and positive impact on health So, the impact of small scale biogas technology has an average treatment effect of 8249.2 ETB, 5968.5 ETB, 9961.5 ETB, 8652.3 ETB per annum to household income using nearest neighbor, radius, kernel and stratification methods respectively. Looking at the impact of small scale biogas technology on health, the study looked at three outcome variables; cost of the treatment for the victims in the households; the number of days spent for fuel collection per week and; total members of the household affected by indoor air pollution (IAP). The impact of biogas on c ost of treatment has an average treatment effect of 320.2 ETB, 392.5 ETB , 339.2 ETB , and 332.8ETB using nearest neighbor, radius, kernel and stratification methods respectively. The impact of biogas on n umber days spent for fuel collection has an average treatment effect of -1.5 , -1.4 , -1.3 , and -1.3 days using nearest neighbor, radius, kernel and stratification methods respectively. Lastly the impact of using small scale biogas technology on t otal members of household that are affected by the illness -1.2, -1.2, -1.2, and -1.2, member using nearest neighbor, radius, kernel and stratification methods respectively. The result indicated the positive impact of small scale biogas technology on health. As the technology has a great potential in promoting sustainable and renewable energy, much effort should be done in promoting the technology, awareness raising to non-user household and peer education should be done.

Key words: Biogas, IAP,Income,Propensity Score Matching, Renewable energy

Acknowledgment

First and for most I would like to thank the almighty creator for showing me the way and guiding me to follow the path that was intended for me.

I like to thank my advisor, Dr. Dawit Diriba (Ph.D.) for his scholarly advice and guidance.

I am grateful to Mr.Temesgen Tefera, manager at National Biogas Program of Ethiopia (NBPE) and Mr. Ketema Admassu, monitoring and evaluation officer at National Biogas Program of Ethiopia (NBPE) for dedicating their time and energy to provide me with the desired information.

I have no words to express the dedication and enthusiasm Mrs. Elfinesh Birneti, model farmer, showed towards me and this study.

I would like to express my gratitude to my extraordinary mother Mrs. Fana Workalemahu, for her continuous support and sometimes for the necessary nudge that kept me going.

I would like to thank each and every one who dedicated their precious time to help and guide me to finalizing this paper. Last but certainly not least, I would like to thank my friends and colleagues at Together! Ethiopian Residents Charity for their encouragements.

Woubakal Tesfaye

June, 2018

CHAPTER 1: INTRODUCTION

1.1. Background

Energy is essential for the economic and social development of a nation. People need affordable and reliable energy but there has to be an appropriate balance between the growing demand for energy and the vital need to protect the environment and climate globally. Nevertheless, the issue of balancing the growing demand for energy with the limited availability of fossil fuels with the need to protect the environment is the greatest challenge of the modern world. Energy in the form of charcoal, firewood, and crop residues plays a pivotal role in the basic welfare and economic activities in many households in the developing countries (Rahman et. al., 2017).

Energy being the crucial element in a country’s economic development, it is a driving force to improve the standard of living. However, access to the reliable and affordable energy source is still a challenge for the majority of the people in developing countries. To make things worse, for the rural population access to modern fuels is limited due to low economic opportunities and access to better technology than the urban population. Energy is very critical to sustainable development and poverty reduction efforts. It affects all aspects of development; social, economic and environment, including livelihoods, access to water, agricultural productivity, health, population levels, education and gender issues. Thus the need for the development of renewable energy in households is crucial (Mulu, 2016).

The relationship between water energy and food (WEF) has become very important with the development of sustainable development. This nexus attracted attention at the Bonn 2011 Nexus conference held in the preparation for the United Nations (UN) Rio+20 conference. The Bonn conference shade some light on closely related sustainability issues connected to the sectors of water, energy and food security (M. Gulati et.al, 2013). To better understand and manage sustainably the limited natural resources, understanding the dynamics and complex interrelationship between water, energy, and food using a nexus approach is very necessary (FAO, 2014).

In Africa, bioenergy emerged as a suitable renewable energy alternative to hinder the impacts of the rising and falling costs of fossil fuel and environmental degradation. With that background, an inclusive consultative process to outline an Africa Bio energy Framework that promotes the development of a sustainable and modern bio energy sector in Africa was initiated by the African Union Commission (AUC) (AUC-ECA, 2013).

In Ethiopia currently, there are 2 types of energy sources: modern and traditional. Modern energy sources include electricity and petroleum while traditional sources of cover fuel wood, charcoal, dung cake, and crop residues which constitute 92% of the total household energy consumption. Despite Ethiopia’s natural energy sources like hydropower, wind, geothermal, and bio fuels, the country faces huge crises. This problem is further intensified by very low per capita energy consumption and the dominance of conventional biomass fuel use. With increasing price of imported oil, the substitute for most Ethiopians remains on biomass fuels and dung cakes. In the northern part of Ethiopia as most natural vegetation depleted energy from dung cake constitutes 22.8% of the total household energy consumption in Tigray Region and 20.4% in Amhara Region (Mulu et.al 2015).

It is estimated that 89.6% of the total energy consumption in Ethiopia is composed of conventional biomass fuels from which 10.4% coming from modern energy sources (Afanador et.al. 2016). Most rural households in Ethiopia are highly dependent on biomass for their energy needs. Devereux (2000), stated with the increasing population pressure, the stress on firewood is increasing which leads to deforestation, land degradation, and loss of soil nutrients leading to food insecurity and energy crises. With the increasing shortage of firewood, households are turning to dung cakes and crop residues for energy. This new reliance creates additional environmental and food security problems as these residues are being used largely for energy purposes than being used as an organic fertilizer for crop production which in the long run affects the food security (Mekonnen and Köhlin, 2008).

Ethiopia has initiated the green growth policy by implementing Ethiopia’s Climate Resilient Green Economy strategy which aims to achieve a middle-income economy with zero net emissions by 2025 (CRGE, 2012). The country is working to generate clean and renewable energy which is interlinked with the SDGs, of 1, 3 5 and 7. Goal 1 of SDG aims to end poverty in all its forms everywhere; Goal 3 aims to ensure health; Goal 5 stating gender equality which could be achieved by reducing women's time spent for the collection of energy sources. The last SDG that links with renewable energy is Goal 7, stating increased use of renewable energy which could be achieved by the use of small-scale biogas technology.

To abate the challenges of domestic energy and associated environmental and socio-economic challenges Ethiopia has launched the implementation of successive domestic biogas programs (CRGE, 2012). The biogas sector in Ethiopia started with the launch of The National Biogas Program (NBPE) in 2008. Although the NBPE started in 2008, previous initiatives already paved the way for the establishment, as documented by Ethiopia Rural Energy Development and Promotion Centre (EREDPC), of biogas technology. These initiatives were first introduced in Ethiopia as early as 1979. The biogas digester was built at the Ambo Agricultural College (EREDPC, 2008).

The program led to the building of over 17,000 bio digesters (Kamp and Forn, 2016). Initially, NBPE has installed 8,000 bio digesters but with the growing demand, each year and other favorable conditions has raised to 17, 000 bio digesters (NBPE-II, 2014). Although the need exists for the biogas technology currently 0.8 % households are using the technology. (NBPE, 2015). The Government of the Federal Democratic Republic of Ethiopia (GoE) has recognized the need by laying down the foundation in its Growth and Transformation Plan I (GTP-I) for the development of renewable energy by indicating biogas as one of the urgency. In GTP-I it is also specified the policies and infrastructures that are needed for the implementation. The GTP-I explicitly addresses the sustainability of growth: “Environmental conservation plays a vital role in sustainable development. Building a ‘Green Economy’ and ongoing implementation of environmental laws are among the key strategic directions to be pursued during the plan period.” (GTP, 2011: p. 119).

Although there are policies and programs that promote the use of small-scale biogas technologies little is known about the impact of using the technology at the household level. Whether the adoption of small-scale biogas technology has significantly improved the livelihood of a given household. This research looked at households’ food consumption patterns, health, income and the gender in relation to using small-scale biogas technology.

To abate the challenges of domestic energy and associated environmental and socio-economic challenges Ethiopia has launched the implementation of successive domestic biogas programs (CRGE, 2012). The biogas sector in Ethiopia started with the launch of The National Biogas Program (NBPE) in 2008. Although the NBPE started in 2008, previous initiatives already paved the way for the establishment, as documented by Ethiopia Rural Energy Development and Promotion Centre (EREDPC), of biogas technology. These initiatives were first introduced in Ethiopia as early as 1979. The biogas digester was built at the Ambo Agricultural College (EREDPC, 2008).

The program led to the building of over 17,000 bio digester (Kamp and Forn, 2016). Initially NBPE has installed 8,000 bio digesters but with the growing demand each year and other favorable conditions, has raised to 17, 000 bio digesters (NBPE-II, 2014). Although the need exists for the biogas technology currently 0.8 % households are using the technology. (NBPE, 2015). The Government of the Federal Democratic Republic of Ethiopia (GoE) has recognized the the need by laying down the foundation in its Growth and Transformation Plan I (GTP-I) for the development of renewable energy by indicating biogas as one of the urgency. In GTP-I it is also specified the policies and infrastructures that are needed for the implementation. The GTP-I explicitly addresses the sustainability of growth: “Environmental conservation plays a vital role in sustainable development. Building a ‘Green Economy’ and ongoing implementation of environmental laws are among the key strategic directions to be pursued during the plan period.” (GTP, 2011: p. 119).

Although there are policies and programs that promote the use of small scale biogas technologies little is known about the impact of using the technology at the household level. Whether the adoption of small scale biogas technology has significantly improved the livelihood of a given household. This research looked at households’ food consumption patterns, health, income and the gender in relation to using small scale biogas technology.

1.2. Statement of the Problem

Biogas energy is utilized commonly for cooking, lighting, refrigeration, and running internal combustion engine (FAO, 1996). Biogas burns more efficiently as compared to fuelwood and dung. It burns at an efficiency of about 60 % whereas fuelwood burns at 5 % to 8 % efficiency in open fire place and dung burns at 60 % of that of fuelwood (FAO, 1997). Unlike the use of traditional biomass fuels, cooking with biogas is much easier because there is no need to keep the fire burning (Arthur et al., 2011).

Biogas energy production and use have been illustrated to have the potential to reduce wood fuel consumption, mitigate climate change and reduce indoor air pollution (Smith et al. 2013). Biogas is considered as one of the solutions to generate sustainable and clean energy. As a result country, particularly developing countries, are promoting the use of clean energy like biogas energy in their effort to attain the SDGs.

Access to modern energy is a key element in rural development. However, according to Getachew, et.al. (2006), despite all attention given to energy issues in Ethiopia in the past, rural communities continue to be deprived of basic energy services. Thus, modern forms of energy are not as available as they are in the urban areas and the conventional sources tend to deplete the natural resources.

Getachew and Stoop (2007), reviewed NBPE and stated that an increasing fraction of the population is being confronted with the difficult choice between eating its food poorly cooked and travelling long distances to collect fuel for cooking. Moreover, Dawit (2014), stated that fuelwood scarcity leads to malnutrition among children due to lack of dietary diversity. Hence, these studies stated the scarcity of fuelwood and its effect on dietary pattern.

In the developing countries collecting fuelwood is mostly the responsibility of women and children, with the scarcity of fuelwood their welfare highly depend on it as they have to travel long distances to collect fuelwood (Heltberg, 2004; Rehfuess et al., 2010).

Mulu (2016), examined the contribution of biogas technology to rural livelihood and the environment in Northern Ethiopia. The study found biogas technology reduced the weekly per capita energy consumption by 75.1 Mega Jules (MJ). Besides reducing the conventional energy sources it highly improves the health and sanitation conditions of the sample respondents. The author also argued that the major factors that influence households’ decisions on adoption of the biogas technology are; sex and education level of household head, cattle size, household access to credit, income level, and the lack of biogas ‘injera’ mitad (stove). On the other hand, Nigussieet.al . ( 2016), examined the links between biogas technology adoption and health status of households in rural Tigray, Northern Ethiopia. The researchers found that households with small-scale biogas technology have significantly lower incidence of indoor air pollution (IAP) related illness compared to the non-adopter households.

Kamp and Forn (2016), analyze the current status of the domestic biogas unit in Ethiopia and the barriers and drivers that influence its development using multilevel perspective (MLP) and Strategic Niche Management (SNM) technique. Their findings suggest that economic stability, literacy and poverty has affected the sector. Furthermore, the poor coordination between the stakeholders has created a gap to attain the intended result.

Although there are ample literature in regard to the role of biogas on the livelihood of households, the researches done mainly focus on the factors that affects and influence the adoption of the technology. Studies done in regard to health and biogas focused on IAP, this study, besides IAP, looked at other illness that can be ameliorated by using small scale biogas technology. Furthermore, this study looked at the impact of small scale biogas technology on households’ income in comparison with non-users. The study also identified the effect of using small scale biogas technology on gender at the household level.

1.3. Objective of the Study

1.3.1. General Objective

The overall objective of the study is to assess the impact of small scale biogas technology on households’welfare by comparing users with non-users in Ada’a woreda in Oromia Region.

1.3.2. Specific Objectives

- To examine the effect of small scale biogas technology on household income
- To analyze the health benefits of using small scale biogas at the household level.

1.4. Significance of the Study

As Ethiopia aims to leap frog to a middle income country, with an ambitious zero net emission by 2025, the country is working strenuously on renewable and clean energy. But on the other hand rapid economic growth and population expansion are putting high demand for energy, water and food. Energy plays a central part in Ethiopia’s effort to the reduction of poverty and to achieving sustainable development, since it touches all features of development; economic, social, and environment, including household welfare, health, population levels, and education and gender issues. In addition none of the SDGs can be met without access to clean and efficient energy services.

It is difficult to achieve any of the SDGs without improving the quality and availability of energy services in the developing countries. United Nations Secretary-General’s Sustainable Energy for All (SEforAll) initiative and the 2030 Agenda for Sustainable Development has recognized energy as the main factor central to sustainable development and aims to achieve access to modern energy services by 2030.Therefore, amongst the 17 SDGs goal 7 “access to affordable, reliable, and sustainable modern energy for all” is interlinked to women’s empowerment, goal 5. This is because rural women and girls are primarily responsible for the most of the household work and easy access to energy makes a noteworthy difference to their health and well-being. It is worthy to mention although access to clean and renewable energy doesn’t assure gender equality but will provide extra time for women to focus on their education and income generating activities (UNDP, 2016).

That being said, this study has both policy and academic significance. The research looked at and brought to forefront the positive effect of small scale biogas technology in the everyday life of households. Although this looks like a drop in the ocean, the comparison with the non-users highlights the mega effect biogas technology has on the health, women and income of user households. Moreover, assessing what has been done so far paves the way for policy makers and academicians on what to focus.

1.5. Scope and Limitation of the Study

The paper looked how small scale biogas technology has affected the welfare of households. It mainly focused on the health, household income and the gender aspect. The paper identified the effects by comparing small scale biogas technology users with non-users in Ada’a woreda, Oromia regional. This research faced limitations of resource like time and budget.

1.6. Ethical Consideration

As ethical considerations are one of the most important aspect of this research, the paper strictly followed procedures. The researcher obtained the proper cooperation letter form Environment and Sustainable Development Department at Addis Ababa University and offices that were visited. Besides the researcher ensured the voluntary participation of respondents in the research and vehemently avoided use of offensive, discriminatory, or other unacceptable language needed to be avoided in the formulation of Questionnaire/Interview/Focus group questions. The research acknowledged the works of other authors and researchers. Most importantly the researcher maintained at most level of objectivity during the study.

1.7. Organization of the Paper

This thesis is composed of five chapters. Chapter Two reviews theoretical and empirical literatures as well as conceptual frame work of the research. Study area description, research design, sampling methods and procedure, and methods of data analysis are included in chapter three. In chapter four the results of the study and discussions are included. Chapter five, the last chapter, is conclusions and recommendations.

CHAPTER 2: LITERATURE REVIEW

2.1. Energy, Sustainable Development and Biogas

2.1.1. The Concept of Energy

Energy is essential to the welfare of human beings. The creation of new energy sources started when communities learned to control and use fire (Gadonniex, 2010). Energy deeply influences the life of communities. It is fundamental to all aspects of human welfare, including access to clean water, health care and education and increasing agricultural productivity (Rahman et. al. 2017).

2.1.2. Interface between Energy and Sustainable Development Goals

The world population is rising and the energy consumption is increasing and will be at startling rate in the coming years. To secure the ever demanding of energy the scope of energy should be expanded from oil and coal to a more diverse energy supply structure. As it is mentioned in World Bank, 2013 report the World Summit for Sustainable Development (WSSD) (2002) and United Nations Conference on Environment and Development (UNCED) (1992), placed energy in focus for poverty eradication and development agenda.

Energy has been recognized as instrumental in improving third world livelihoods. Modern energy resources, such as nuclear energy, wind energy, solar, geothermal heat, bioenergy, etc. shall be developed, and development and utilization shall be boosted (IRENA, 2015). Goal 7 of the SDG states to promote a vast option of energy access and to increase and encourage use of renewable energy sources through greater international cooperation and expanded infrastructure and technology for clean energy. (UN, 2016).

2.1.3. What is Renewable Energy?

An energy which comes from a natural energy source such as; sun, wind, rain, tides and geothermal heat and which are replenished naturally are usually referred as renewable energy (Sambo, 2010). Renewable energy utilization has expanded greatly over the past decade. 120 giga watts (GW), in the power sector of renewable energy capacity was deployed in 2013. This is estimated to be all of Brazil’s electricity generation capacity (IRENA, 2015).

Globally renewables generated 22.1% of electricity in 2013. In the heat and transport sector vigorous growth is shown. Currently the position of renewable energies in meeting the global heat demand is 10% and it is rising. As it was stated in REN21, 2014 global status report 0.8% of the global transport fuel that was used in 2013 was derived from renewable energy sources such as Liquid biofuels (including ethanol and biodiesel) (REN21, 2014).

Biogas is a sustainable and clean substitution energy to biomass produced by anaerobic fermentation of animal dung and other waste in a subterraneous digester built from locally available materials (SNV, 2015). It is a combination of gases (methane and carbon dioxide) produced through the anaerobic breakdown of organic matter (e.g., animal or human waste, food waste or plant material) ultimately creating energy. Biogas energy can be used for cooking, heating, electricity and even transportation. Biogas is also considered favorable from a financial perspective as it has generally low capital requirements, especially when compared to “conventional centralized power systems” (Mwirigi et al., 2014; Karekezi, 2002).

Biogas technology is form of renewable energy that uses various organic wastes in the absence of oxygen to harvest combustible mixture of methane and carbon dioxide gases, mineralized water and organic fertilizer (bio-slurry) (Gautam et al., 2009). This technologyrecuperates biogas by collecting anaerobic degradation pathways controlled by micro-organisms. The gas is a mixture of methane (CH4) and carbon dioxide (CO2), and other gases like hydrogen sulphide (H2S) (Singh and Sooch, 2004; Shin et al., 2005). The gas is flammable as the presence of Methane. Being one of the most decentralized renewable energy technology,small-scale biogas technology is highly promoted for rural people.

Some African countries have also been working on the dissemination of biogas technology with renewed interest. The total numbers of biogas installations constructed up to 2011 in nine African countries, namely, Rwanda, Ethiopia, Tanzania, Kenya, Uganda, Burkina Faso, Cameron, Benin and Senegal summed up 24,990 (SNV, 2013). ABPP, which was created by SNV and HIVOS, planned to construct 70,000 biogas installations in six African countries (Kenya, Burkina Faso, Ethiopia, Tanzania, Uganda, and Senegal) with the aim to provide sustainable source of energy for about half a million people by the end of 2013 (AFREA, 2011). HIVOS manages the programme, SNV provides technical assistance whereas national agencies take the responsibility of implementing the programmes with a range of partners. The major source of funding for ABPP is the Dutch Ministry for Development Cooperation (DGIS). Currently, ABPP is active in five countries with the dropped out of Senegal at the beginning of 2012 (ABPP, 2012).

Most African countries are endowed with abundant renewable energy sources and can provide a major breakthrough solution to Africa’s energy crisis (Bugaje, I.M., 2006). Biogas comes from anaerobic digestion of biomass, it is widely grouped into public sewage and solid waste, agro and livestock waste, and energy crops. Compared to other renewable energies biogas technology is more advantageous as combines and stores energy (gas) and it produces bio-slurry which can be used as fertilizer (Janssen and Rutz, 2012).

2.1.4. Energy and Biogas in Ethiopia

In Ethiopia access to modern energy is one of the key element in rural development. Though in the past due attention was not given to it. As only 2 % of Ethiopia’s rural households have access to the national grid and 85 % of the population live and work in rural areas, the lack of energy is expected to severely restrict Ethiopia’s social and economic development. Woody biomass represents the principal form of cooking and lighting fuel in Ethiopia’s rural areas. The scarcity of fuel wood in these geographies has led to an increased utilization of cow dung and agricultural residues as primary sources of household fuel which otherwise would have been used to enhance the nutrient status and texture of the soil and contribute positively to agricultural production (NBPE, 2015).

2.1.5. Biogas in Context of Ethiopia’s National Development Agenda

Biogas technology has been implemented in Ethiopia since 1979, however due to technical, logistical and other reasons it didn’t develop as planned (Zereay , et.al , 2013). In 2009, National Biogas Program of Ethiopia (NBPE) was launched with the aim of constructing 14,000 biogas plants in the first phase while exploring the potential for the development of a commercially viable biogas sector, which was later revised to 10,000 plants. A total of 8,161 biogas units were installed within the Phase I period (2009-2013). The programme started under the multi-country Africa Biogas Partnership Programme (ABPP). The Ethiopian Rural Energy Promotion and Development Centre (EREDPC) was the national partner. The project was later placed under the supervision of the Ministry of Water, Irrigation & Energy (MoWIE). SNV/Ethiopia carried out a feasibility study in 2006 for implementing a nationwide program on the development of household biogas units.In the second phase of the program (2014 – 2017), it targeted to install 20,000 biogas plants. In 2014 alone, a total of 1,762 plants have been constructed raising the total number (NBPE, 2015).

The National biogas programme Ethiopia promoting domestic biogas was launched with the support of the Netherland Development Organization. It is hosted and co-financed by Ministry of Water, Irrigation and Electricity (MoWIE) with financial and technical support of the Directorate General for International Cooperation (DGIS) of the Netherlands managed by the Humanist Institute for International Development Cooperation (HIVOS). It is also gets technical support from the Netherlands Development Organization (SNV). Ethiopiabeing rich in livestock and as the majority of the rural inhabitants are involved in various forms of animal husbandry is therefore logical that the GTP recognizes biogas as one of the potential feasible sources of renewable energy for domestic use. This program is designed to upscale the National Biogas Program undertaken by the Ethiopian Rural Energy Promotion and Development Center (EREDPC). This program is in line with the GTP and CRGE’s plan of expanding clean and renewable energy (ECA, 2015).

According to Ethiopia Clean Cooking Energy Program, which adheres a shift from conventional fuel sources to renewable energy sources, 39,178 unit small scale biogas digesters are and will be initiated in the period of 2015 to 2020. Development Bank of Ethiopia (DBE) in collaboration with Ministry of Water, Irrigation and Electricity (MoWIE) are supervising this program. The program is sustained by the World Bank managed Clean Initiative for Development (Ci-Dev) to maintain suitability after the project has phased out (NBPE, 2015).

2.2. Theoretical LiteratureReview

2.2.1. Household Energy Transition in Developing Countries

2.2.1.1. The Energy ladder

The energy ladder was developed as a model to explain the household energy choice in developing nations (Kowsari and Zerriffi, 2011). The energy ladder notion takes as its standing point the differences in energy - use patterns between households with differing economic status. This model assumes households tend to maximize their utility with the neo-classical consumer manner implying they will move to more refined energy sources as their income increase (van der Kroon et.al ., 2011). Fuel switching is a central notion in the energy ladder concept, meaning a move to a new type of energy is a moving away from the previously used one (Heltberg, 2005).

Martin (2005), mentioned the energy ladder model provides a partial glimpse of the actual reality. Recent empirical evidences on the transition of energy transition found out different than the simple energy ladder model that portrays the adoption of fuel in a progressive manner (Kowsari and Zerriffi, 2011). This raised to the issues that different types are used for different types of tasks, households can choose or mix different energy sources rather than simply abandoning the conventional energy sources. (Davis and Mark, 1998; ESMAP, 2003; Heltberg, 2004; Leiwen and O’Neill, 2003; Masera et al., 1997, 2000; Pachauri and Spreng, 2003). This notion brought about another energy model, energy stalking.

Abbildung in dieser Leseprobe nicht enthalten

2.2.1.2. Energy Stacking Model

When households use different fuels at the same time it is called energy stacking. Households stack fuels for several reasons as; keeping the conventional energy systems when the modern forms of energy show prices increment, as a form of insurance when there is a shortage of modern energy form, as an insurance against modern energy supplier failure, based on the type of food being cooked (ESMAP, 1999, Leach, 1992; Thom and Cecile, 2000, Masera et al., 2000).

From the empirical studies done by byLeiwen in rural Chinain2003) indicate that some forms of traditional energy are still used by the wealthiest households. Barnes proposed a ‘‘rural energy ladder’’ that illustrates the steps through which rural households generally move from traditional biofuels and human and animal power to a mix of traditional and modern fuels (Barnes et al., 1996).

Abbildung in dieser Leseprobe nicht enthalten

Figure 2 Energy Stacking Model- Source Schlag and Zuzarte, 2008.

2.2.1.3. Energy Leapfrogging

This theory about access to energy is a recent trend, it evolves around the idea that developing countries have access to a set of efficient technologies that was not available to developed countries in the past. As mentioned by Goldemberg, 1998 the idea often features in the energy debate assuming that developing nations have access to energy saving technologies that were not existent when developed countries were at a similar stage of economic development.

2.3. Empirical Related Review

This section will provide empirical review on the impact of small scale biogas technology on the livelihoods/ well-being of households.

2.3.1. Health benefits of Biogas

The utilization of biogas innovation has various wellbeing and social advantages. The medical advantages incorporate: lessening in smoke borne illnesses, for example, migraine, eye-consuming, eye-contamination, and respiratory organ disease; change in family sanitation by means of latrine association with bio digesters and nonattendance of sooth and fiery remains in the kitchen; and lessening in consuming mishaps (Ghimire, 2008). Essentially, Bajgain and Shakya (2005) uncovered that usage of biogas extraordinarily enhances the nature of indoor air. It consumes neatly with the goal that its utilization limits eye diseases which comes about because of consuming of conventional biomass powers. In addition, it helps looking after sanitation of zones encompassing families by means of fertilizer administration and clean toilets associated with biogas digesters. Consequently, it brings down the likelihood of development of infectious maladies. At the end of the day, as expressed by Aggarangsi et al. (2013), biogas innovation gives medical advantages not exclusively to its clients yet in addition to the entire network in its environs. To be sure,Bajgain and Shakya (2005) too remind that smoke free rooms may not generally be profitable. The smoke is constantly used to keep out creepy crawlies. Be that as it may, the smoke free biogas stoves can't fend off mosquitoes.

All inclusive, around two million passings per year from pneumonia, unending lung illness, and lung malignancy are connected to indoor air contamination from the utilization of strong powers. In slightest created and Sub Saharan Africa nations, the greater part of the considerable number of passings from these three infections are related with strong fuel utilize while it is simply around 38 % for the general creating nations (Legros et al., 2009). Hence, clean vitality mediations, for example, scattering of biogas innovation in these locales can significantly lessen passings because of indoor air contamination.

Biogas innovation has likewise different social parts. It enhances social relations by means of limiting terrible scents and natural contaminations of natural squanders which would have been generally fill in as a wellspring of grievance among neighbors and contrarily influence social relations (Aggarangsi et al., 2013). It spares time for social exercises; it enhances societal position in the network; it diminishes ladies and youngsters' work weight; and it offers brighter light that helps quality instruction and family obligations (Ghimire, 2008). Additionally, ENERGIA (2010) expressed that the utilization of biogas establishment curtails time spent on fuelwood accumulation, cooking, and cleaning utensils and kitchens. This spared time is used for rest and recreation, tutoring, social exercises or potentially gainful purposes which unquestionably enable ladies and advance ladies and young ladies' instruction.

The splendid biogas light likewise helps with prevailing in kids' instructive exhibitions. In Nepal, because of the utilization of biogas, ladies can save money all things considered three hours day by day from the general time required for cooking, cleaning pots, and gathering fuelwood (Winrock International, 2007). Another examination in Nepal uncovered that biogas clients by and large spare 96 minutes for each day for cooking when contrasted with customary stove clients. Also, biogas is a spotless cooking fuel.

Thus, the time put something aside to wash cooking utensils is assessed to be all things considered 39 minutes every day (Renwick et al., 2007). This time spared might be used for tutoring or other beneficial purposes. Kids who have been firmly possessed with fuelwood gathering could inspire time to go to class. Along these lines, the utilization of biogas limited the hole in instructive status between guys and females (Arthur et al., 2011).

Nigussieet.al. 2016 in their study of the links between biogas technology adoption and health status of households in rural Tigray, Northern Ethiopia. The researchers used propensity score matching to analyze the matched data and revealed that the households using small scale biogas technology have a lower chance of acquiring IAP-related illness than the non-users. Subsequently, small-scale biogas adopters paid less money for medication, the number of sick days are limited and time spent of fuelwood collection are less compared to non-users. All in all, the study found small-scale biogas technology to improve the health conditions of households.Zerihun in a study conducted in 2015 in Fogera District, Amhara Regional State on benefits of using biogas energy in rural areas found out the technology users benefited from reduced IAA and improved sanitary conditions

2.3.2. Biogas and Household Income

Wamuyu (2009), in a study he conducted in Kenya, Kimbu County found out the using of biogas technology has uplifted the livelihoods of the households in that county. Households have saved up to 445 USD annually due to the technology, time was significantly saved and respiratory diseases from IAP were reduced significantly.

In Gwavuya, Abele, Zeller & Muller’s article (2012) titled Household Energy Economics in Rural Ethiopia: A Cost-Benefit Analysis of Biogas Energy, the authors identified biogas plants yield positive net present values (NPVs) for households collecting their own energy sources but even higher NPVs for households that purchase all of their energy needs as they benefit from cost savings through the use of biogas technology

In a study done in Pakistan by Ali et.al, (2013) the researchers evaluated the use of biogas in developing areas. The result is biogas technologies have created green jobs and have increased the revenue from rural economy. Besides that, biogas technology is helpful in transforming organic wastes into high quality fertilizer. As a result of proper waste management, the hygienic conditions of the area were upgraded. They also mentioned in the study, the use of biogas technology has greatly reduced work load mainly on women.

For an improved economic and social wellbeing and poverty reduction energy plays a pivotal factor. In this regard biogas plays a vital role in the sustainable development of rural communities (IAEA, 2005). In a study done in South Africa by M. Gulati et.al. in 2013 showed biogas production contributed to the reduction of household costs for fertilizer and energy. The saved income has been used for other purposes such as school fees andnutritious food items adding significantly to the households’ welfare and to the economy.

2.4. ConceptualFramework Model

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Figure 3 Conceptual framework (own construction)

Conceptual framework lists of concepts and their associations and possible outcomes of the research problem. This enables the researcher to analytically consider numeroussidesof the research problem; recognize key factors, and portray their rational interrelationships in a system.

In perspective of the above thought, the visual portrayal of the reasonable structure has been created based on articulation of the issue and survey of related writing. Consequently, the diagrammatic type of the reasonable structure that presentations interrelationships among key factors and their presumable results is portrayed in Figure 3.

Reception and scattering of biogas innovation in a given society relies upon various factors. A portion of the central point include: socio-statistic characters of families; monetary characters of families including access to elective wellsprings of vitality like power and photovoltaic; biophysical factors, for example, access to woody biomass, arrive, and water assets; legitimate and institutional factors, for example, advancement work, backings, and endowments; private segment interest in advancement, development, and assembling and supplies of machines and extra parts; and traits of the innovation itself.

Here it ought to be noticed that appropriation of biogas innovation is family unit specific. It requires family units to have adequate size of domesticated animals to sustain biogas digester, adequate and dependable water sources inside sensible separations, and work to work the biogas establishment. It moreover needs families either to approach credit or adequate claim budgetary cash-flow to cover the full or fractional cost of biogas speculation (incomplete in the event that where there is sponsorship).

In this manner, in view of the interchange of all the previously mentioned factors, family units can procure learning and mindfulness on biogas innovation, assess its significance, and create demeanor towards utilizing the innovation, lastly may choose to receive and begin the genuine utilization of the innovation.

Once biogas innovation is embraced, managed and productive use of the innovation can lead to different advancement results. A portion of the major feasible advancement results may include: addressing vitality needs, spared time, diminished workload, lessened wellbeing hazard, decreased use, expanded salary and openings for work, expanded efficiency, decreased deforestation, lessened GHG discharges, enhanced soil richness, decreased indoor air contamination, and enhanced sanitation.

CHAPTER 3: RESEARCH METHODOLOGY

3.1. Description of the Study Area

Ada’a woreda is found on the east of Addis Ababa which is in between longitudes 38º51’ to 39º04’ East and latitudes 8º46’ to 8º59’ North covering a land area of 1750 km2. Ada’a is mostly plain highland ranging between 1600 to 2000 meters above sea level. The agro ecology in the woreda is best suited for diverse agricultural production.Rivers and crater lakes are used for agriculture particularly for horticultural crops production. Ada’a is countrywide known for its finest quality teff production which dominates the agricultural production system. Wheat is also cultivated in ample amount. Pulse crops and chickpea are grown in the bottomland. Cattle, sheep, goat, and poultry productionis a very common practice. On average a household owns a farm size varying from 1 to 2.5 ha and oxen is the major farming operation.

Ada’aexperiences annual temperature ranging from about 8–28ºC.There are 3 agro-climatic zones known in the woreda. The two cropping seasons in the woreda are “belg” (short rainy season) March to April and and “meher” (main rainy season) from June to September. Form the information obtained from Ada’a Woreda Water, Mine and Energy office,there are 27,264 (CSA, 2007) households in Ada’aworeda from which 306 households use small scale biogas technology.

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Figure 4: Study Area Map

Like many parts of the country, energy source for Ada’a woreda is mainly from traditional biomasses; and, firewood constitutes a greater coverage of domestic energy supply both in rural and urban areas.

3.2. Study Design

The study design used in this research is a cross sectional study design. This design was considered as the limited time the research had and as the data has to be collected at one point in time. Itcombined both quantitative and qualitative research methods. The study employed quasi-experimental research design as the comparison will be those households who are using small scale biogas technology, treated group and the control groups, non-users.

3.3. Data Sources

For this study both primary and secondary sources of data were employed to gather reliable and valid information. The primary data was collected from both small scale biogas technology user and non-user householdsby structured questionnaires, and key informant interview. While secondary data was collected through review of documents, small scale biogas technology user databases, books, journals, reports, websites etc.

3.4. Sample Size Determination and Sampling Techniques and Procedures

3.4.1. Sample Size Determination

The units of analysis for this study were both biogas users and non-user households. From the data obtained from National Biogas Programme Coordination Office database and SNV, there are a total of 306 households in Adea woreda. Biogas user households who started using the technology before 2015 were used as sampling frame. The main purpose for selecting households that has been using the technology before 2015is to better understand the impacts of biogas on the welfare of the household.

That being said; the study used Cochran formula.

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Where

n=Sample size required

p=The estimated proportion of an attribute that is present in the population, (expected prevalence).

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z=Z- Score associated with appropriately chosen level of confidence (95%) with the table value of 1.96.

e=The desired level of precision

Therefore, assume p= 0.3. Accordingly, the desired level of precision 5% with 95% level of confidence the Z value equals 1.96. The estimated sample size will be:

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From the data obtained from NBPE office as seen in Table 1 there are 37 kebeles in Ada’a woreda with households that have small scale biogas technologies.

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Table 1: List of kebeles and number of biogas users in Ada’a Woreda. (Source: NBPE, 2017)

The study initially planned to collect data from 368 which is calculated by the sampling formula. From the 37 kebeles, the study purposively selected 9 kebeles with significant numbers of small scale biogas user households. As the researcher was bound by time and money constraints, the study was forced to choose 9 kebeles among the 37 kebeles in Ada’aworeda with relatively high number of biogas users from the other kebeles. From the selected 9 kebeles the researcher took all the 116 small scale biogas user households, keeping the criteria of currently active and users before 2015, for the purpose of this research. Unfortunately, during data collection phase of the research, information could only be obtained from 100 user households. As the study used propensity score matching to assess the impact of small scale biogas technology by comparing user and non-user households, the research doubled the number of non-users. It is however unfortunate the research couldn’t keep the set sample size. This is as a result of some adopters has seized using the technology in the selected kebeles, and due to time, and budget constraints.

3.4.2. Sampling Techniques

9 kebeles were purposively selected where there are high number of biogas users. The study selected all the 116 small scale biogas technology users from the 9 kebeles. Using information obtained from NBPE, user households’ kebeles were purposively selected. After obtaining the population size of the selected kebeles from Ada’a Woreda Water Mine and Energy Bureau, sample non-user households were selected using proportional sample determination. Each individual non-user household has been selected using simple random sampling method. The researcher selected 200 non-users using judgmental sampling by doubling the number of users.

Table 2 Proportional Sample Size determination in each sample kebeles.

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3.5. Tools of Data Collection

The research used both quantitative and qualitative methods of data collection method. Quantitative data was collected directly from respondents using structured questionnaire. The researcher developed the questionnaire in English and translated into Oromo language. Qualitative information of the study was obtained through interview and focus group discussions. Secondary data was also obtained through the respective woreda’s data base, review of relevant literature from internet and publications.

3.6. Data Processing and Analysis

Quantitative data obtained through survey questionnaire was entered in to computer for analysis using Microsoft Excel 2013. Accordingly, the data was edited, coded, and cleaned. The analysis part was conducted using both descriptive and econometric analysis. The propensity score matching model was analyzed using STATA 13.

3.6.1. Descriptive Data Analysis

Descriptive statistics mean, standard deviations, frequency and percentages were used using STATA software version 13. In addition to this, the statistical significances and the association of the dummy and continuous variables with the dependent variable were tested using chi-square and t-test. Moreover, data collected through key informant interviews and focus group discussions were analyzed using textual analysis.

3.6.2. Econometric Analysis

Propensity Score Matching (PSM)

When random assignment of treatment is not practicable to subjects, propensity scores are used as an alternate to approximate the effect of the treatment received (Thavaneswaran, 2008). In this study, this technique is used to analyze the data. PSM isused to identify the difference in outcome variable between biogas users and non-user households assuming the covariate have the same characteristics.

Rubin,(2011) defined PSM as the coupling of treatment and control components with comparable values on the propensity score, and other covariates, and removing the unmatched components. The primary use of PMS is compare two groups but can also be applied to more than two groups. As Li, (2012) defines it “PSM refers to a special procedure that uses propensity scores and matching algorithm to calculate the causal effect.”

PSM depend on identifying a group of treated individuals similar to the control. In this paper the main difference remains between households who use small scale biogas technology and non-user households.

Statistically the estimated propensity score e(xi), for subject i,(i = 1,…, N ) is the conditional probability of being assigned to a particular treatment given a vector of observed covariates xi (Rosenbaum and Rubin, 1983):

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and

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Where:

zi = 1 for treatment

zi= 0, for control

xi = the vector of observed covariates for the ith subject

And

In randomized studies, covariates are variables that are not affected by the allocation of treatments to subjects.

Since the propensity score is a probability, it ranges in value from 0 to 1.

The main objective of the PSM is to substitute the many confounding covariates in an observational study with one function of covariates. The function (or the propensity score) captures the possibility of study participants receiving a treatment based on observed covariates. The projected propensity score is then used as the confounding covariate to adjust for all of the covariates that go into the estimation (Li, 2012).

When applying the matching estimate, two assumptions are made to estimate the average treatment on effected on the treated (ATT). Heckman et al., (1997) proposed the conditional independence assumption (CIA), which implies that selection into the treatment group is solely based on observable characteristics (selection on observables).

One can estimate the ATT by subtracting the average treatment effect of the treated group from that of the control group at a particular propensity score.

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Under this method, a user household is compared with a nonuser household having the same characteristics and the difference in outcomes is evaluated. The study used a probit to estimate of observable characteristics will use predicted values from probit to generate propensity score p(xi) for all treatment and comparison group members (Pattanayak, 2009).

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