Technology Cooperation and Capacity Building - CommDev

TECHNOLOGY COOPERATION AND CAPACITY BUILDING… Case Study ElevenTotal in Senegal‘Technology cooperation has allowed us to diversify energysources which is a means of protecting the environment. Today,LPG is largely used as domestic fuel, in place of charcoal, andthis leads to reduced deforestation.’Mr Abdoulaye Kane,Director of Water and ForestsMinistry of the Environment and Nature ProtectionThe new Nopale stove in use in an urban home20 000 hectares of Senegalese forests. Indeed, despite theincrease in energy demand, there has been a gradual decreasein the number of charcoal furnaces in operation in Senegalover the past ten years.The change to butane cooking has meant that supplyingliquefied petroleum gas (LPG) in 6 kg bottles has become themain activity of Totalgaz in Senegal. Sales of Nopale cookinggas rose from 402 tonnes in 1983 to more than 22 360 tonnesin 1994 (equivalent to 81 per cent of all Totalgaz sales and57 per cent of the LPG used in Senegal).To meet growing demand in Senegal and to set-upoperations closer to the consumer, Totalgaz built two newbottle filling and gas storage centres—in Kaolac in 1988 andin Saint Louis in 1991. It also invested the equivalent of‘Technology transfer from our partners is extremely importantfor developing countries like ours. The oil companies are helpingus fight deforestation by introducing new equipment such ashousehold cooking stoves. We must recognize that theprofessionalism of oil companies and their facility to invest in apotential market have … minimized operating costs.’Mr Bacar Guissé,Chief of Oil Division and Coordinator of the Gas Regional ProgrammeMinistry of Energy, Mines and Industrynearly US$4 million in 1992 in the construction of a Nopalebottle depot at Mbao on the outskirts of Dakar. Thecompany’s total investment, since the beginning of the butanecampaign, is estimated at the equivalent of US$15 million.Furthermore, the butane programme has producedproductive partnerships with local people. Fifty distributioncentres for the Nopale have been set up and they run tenhorse-drawn carts for deliveries to local retailers—on top ofthe two drivers and four helpers that each centre employs ata minimum. At least 30 jobs were created during theNOTES ON THE PARTNERSTotal first established a presence in Senegal in 1947, andhas been helping to develop all stages of the energy chainever since. Its turnover in Senegal was the equivalent ofabout US$60 million in 1993. Totalgaz is the leader in theliquefied petroleum gas (LPG) market, with more than 70per cent of stocked bottles. As part of the butaneprogramme, Total developed facilities for bottling LPG,storing the filled bottles and delivering them. It alsoimported 350 000 bottles.The Senegalese Government subsidizes the use ofbutane gas and does not impose a levy on bottles oraccessories. The size of subsidy fell from the equivalent ofUS$17 million a year in 1989 to less than US$5 million ayear in 1992.The European Development Fund financed the threeyearRegional Gas Programme, from 1989–92, at a cost ofmore than US$14 million. These funds were used topurchase 90 000 gas bottles and to train workers inproducing the cooking stands.Many of the 50 retail organizations that were created toimprove distribution have become flourishing businesses.56