A SADC Residential Compact Fluorescent Lamps Rollout Program by Southern African Power Pool (SAPP)

A SADC Residential Compact Fluorescent Lamps Rollout Program by Southern African Power Pool (SAPP) A SADC Residential Compact Fluorescent Lamps Rollout Program by Southern African Power Pool (SAPP)... 1 1. Introduction... 2 2. Demand Side Management Power Station Overview... 2 3. Experiences of CFL Programs from SAPP Member States... 3 3.1. Mozambique... 3 3.2. Malawi... 4 3.3. Namibia... 4 3.4. South Africa... 4 3.5. Swaziland... 4 3.6. Zambia... 4 3.7. Zimbabwe... 5 4. Proposed Implementation Strategy... 6 5. Sustainability Strategy... 11 6. Environmental Strategy... 12 6.1. Handling of Broken CFLs... 12 6.2. Clean Up Steps of Hard Surfaces... 13 6.3. Clean Up Steps for Carpeting or Rug... 13 6.4. Clean-up steps for Clothing, Bedding etc... 14 7. Expected Benefits... 14 Appendix A: Proposed Project Timeline... 15 Appendix B: Scoring Criteria... 16 Appendix C: Utility CFL Requirements... 17 1

1. Introduction The SADC region has been and continues to be plagued by power shortages as demand increased over the years and aging infrastructure not being able to meet the demand. The concept of the Demand Side Management Power Station (DSMPS) is the roll out at the regional level energy efficiency technologies that will reduce the demand increase. The idea is to first formulate regional specifications for DSM technologies to ensure that the region benefits as a whole and takes advantage of the economies of scale. Globally, lighting systems consume about 15 % of the total electricity, and local research shows that residential lighting accounts for about 20% of the average home electricity bill. As part of the DSMPS, compact fluorescent lamps (CFLs) have been identified at the first unit to be commissioned. Compared to incandescent bulbs, CFLs can save up to 80 % of electricity. SAPP member utilities were requested to submit their CFLs requirements for the next three years. A total of 40 million CFL has been indicated over the next three years, with three more power utilities still expected to submit their requirements. The CFL unit is expected to contribute a cumulative 1765 MW this is avoided supply, which if the procurement process is started the soonest, the first 950 MW could be online by the end of 2009 and 450 MW in 2010, 365 MW in 2011. The report proposes a SADC regional CFL rollout program. 2. Demand Side Management Power Station Overview The proposed DSM power station units will be made up of DSM technologies rolled out as technology matures and enough verification methods developed. Initially, the first four units will be made up of CFL s, Commercial Lighting (retrofits), Solar Water Heating and Hot Water Load Control (HWLC) see Fig. 1. With an exception of the HWLC units, the other units are aimed at hardwiring the energy savings into the grid. Switching from traditional light bulbs to CFLs is an effective, accessible change that SAPP can make to reduce energy use at home and prevent greenhouse gas emissions that contribute to global climate change. The CFL unit has been identified as the one with relative ease of 2

implementation, as most SAPP member states already have experience with these. Figure 1 depicts the DSMPS. 5,000.00 Demand Reduction [MW] 4,000.00 3,000.00 2,000.00 1,000.00 HWLC Commercial Lighting SWH CFLs - 2009 2010 2011 2012 2013 2014 2015 Year Fig. 1: Demand side management power station units 3. Experiences of CFL Programs from SAPP Member States Below is the overview of each SAPP member utility experiences and programs with CFLs: 3.1. Mozambique After the submission by EDM to SAPP of the quantities of CFL to be replaced during the SAPP 3 years program (1,141,458-year 1, 1,141,458- year 2 and 1,141,458-year 3), so far no relevant developments have been done in this regard. 3

3.2. Malawi Some retail promotions of CFLs. Main challenge initially was the lack of technical standards to define a good quality CFL. 3.3. Namibia From 2007, NamPower started promoting and distributing CFLs to customers free of charge, targeting mainly the households, schools and then eventually lodges and hostels. 3.4. South Africa Since 1998, South Africa started promoting CFLs. In 2008, about 20 million CFLs were planned for door-to-door exchange programs, free of charge to the consumer. Moreover, CFLs were given to the large commercial companies to facilitate the exchange to their employees, including at Eskom major offices and some CFLs were given to the South African National Defence Force. This allowed penetration of CFLs into the higher income groups as the door-to-door program was mainly targeted at the lower income groups. In 2008, a retail program was launched where Eskom has agreements with large national retailers to sell CFLs at discounted prices. Between 2006 and 2007, about 22 millions CFLs were exchanged, more 500 MW of verified savings were reported. A further 420 MW is projected for 2008/2009. An estimated 15 750 temporary jobs were created during the roll-outs. 3.5. Swaziland The Swaziland Electricity Company has been promoting the use of CFL s since 2001 through exhibitions and Trade Fairs. Several road shows have been conducted where most Domestic customers attend and on average 100 CFL s are distributed. The volumes distributed by the utility is small but most effluent customers are using CFL s for lighting. 3.6. Zambia Intensified efforts to promote energy saving lamps started in 2008. A show and tell approach has been adopted by retrofitting several homes (100) with 4

CFLs and compare with another 100 homes using general lighting systems (GLS, mostly incandescent lamps). Also, several state owned buildings, including the state house, have been retrofitted. The ELI specification guidelines were used in the procurement. At the same time, suppliers were incentivised to reduce their imports of the GLS through import tax incentives through waiving taxes on CFLs. A demo kit displaying energy saving lamps alongside the incandescent lamps as been built is displayed at the customer centres to increase consumer awareness. ZESCO has planned to buy 1 million CFLs per annum for the next three years. The expected impact of these CFLs is 100 MW to 150 MW. So far, 86,000 CFLs have been procured and being sold at the customers service centres with an estimated 7.4 MW savings envisaged to be achieved. 3.7. Zimbabwe ZESA started implementing DSM & Energy Efficiency programmes in earnest in November 2005 after hosting an all stakeholder DSM symposium. Efficient lighting was identified as one of the key areas where significant savings could be achieved. Policy recommendations were made to the Ministry of Energy and Power Development and these include : Free Exchange of incandescent lamps with CFLs Scrapping of import duties on CFLs Banning the use of incandescent lamps beyond 2010 Legislation for new installations to have efficient lighting systems before connection. Subsequent to this ZESA engaged three strategic partners who supply efficient lighting products and have been carrying out promotions at shows and exhibitions such as the:- Zimbabwe International Trade Fair Harare Agricultural Show Provincial Shows 5

The companies have sold a total of 224 000 lamps between themselves since the promotion started. ZESA is also selling CFLs in revenue collection offices with over 25 000 having been sold to date. The power saving achieved to date is about 16MW unverified. An Efficient Lighting Project Subcommittee was set up by the Utility to spearhead the CFL s project. An MOU was signed with a financier for the supply and installation of 7,500,000 CFLs. The project will be carried out over a 3 year period as follows: Year Number Exchanged Target Savings 2009 3,000,000 108 MW 2010 2,000,000 72 MW 2011 2,500,000 90 MW A pilot roll out is set to be carried out on an 11kV residential feeder whose project load profiles have already been obtained over a 30 day period. 4. Proposed Implementation Strategy 4.1. Technical Specification The SAPP DSM WG has adopted the Efficient Lighting Initiative (ELI) specification for integrated self ballasted CFLs. This specification was already in use by some of the SAPP members, example, Eskom and NamPower. A technical specification paper was compiled by Eskom and circulated to all members. The same paper also addressed the power quality issues that might need continuous monitoring. The proposed project timeline is in Appendix A. 4.2. Funding Funding for the CFL projects requirements will be on the account of individual utilities. The CFL quantities are indicated in Appendix C. 6

4.3. Procurement In order to take advantage of the economies of scale, it is advisable that the SAPP makes a combined CFL order through the Coordination Centre and the CC to provide delivery schedules to the various countries. This also ensures that a common SAPP specification is used in the procurement. Request from interests from known active CFL suppliers in the region will be solicited. A technical (60 %) and commercial (40 %) review process will be used to compare proposals, with the scoring as indicated in the braces. A subcommittee, comprising of the CC, DSM WG Chairperson and the ECS Chairperson will be tasked with the evaluation of suppliers. The sub-committee will present the screening results and recommend to the DSM WG. Currently, SAPP utilities have indicated a need for about 40 million CFLs over the next three years. Table I shows the CFL requirements and specifications. Over and above the ELI specification, SAPP has additional requirements to be met by suppliers: 1. Suppliers to quote on CFLs with lamp life of 8000, 10000 and 15000 hours 2. Suppliers are to quote on two maximum lengths of the CFLs, the 150 mm (standard market available CFLs) and 125 mm (to ensure 100 % compatibility with the incandescent fittings) 3. Considering 1 and 2 above, a total of six quotations are expected, for the three lamp life-spans and the two dimensions 4. For each wattage rating, 80 % of the total was appropriated to the bayonet cap type and 20 % to the Edison screw type 5. Suppliers are to present the ELI certificate of conformation; alternatively, suppliers may submit test certificates / technical results to prove compliance to each of the technical standards the ELI specification requires compliance to: 7

a. Electromagnetic and Radio Frequency Interference CISPR 15:2007 (radio disturbance) b. SABS IEC 61000-3-2:2006 (harmonics) c. IEC 61000-3-3:2006 (limitation of voltage changes) 6. Although included in the ELI specification, it is reiterated here that CFLs shall have mercury content less than 5 mg, in accordance with RoHS (Restriction on Hazardous Substances) compliant as per the EU Directive 2002/95/EC for electrical and electronic equipment 01 July 2006 onwards 7. A schedule of delivery of CFLs to the various SAPP utilities will be drawn up by the CC and the suppliers will be advised accordingly 8. The SAPP will not accept more than a 2% failure rate within the 12 months of delivery, the supplier will be held liable to replace the failed CFLs 9. CFLs must be suitable for the 50 Hz, 220V networks 10. The compact fluorescent lamps will replace the 60W, 75W and 100W incandescent lamps 11. Eskom DSM will require an unconditional product guarantee against latent defects for a period of at least one (1) year 8

Table I: SAPP CFL specifications and requirements for the next three years Wattage Category [W] Colour Appearance Type of Lamps Length of the Lamp (maximum limits) Lumens and Efficacy Specification Quantity Year 1 Year 2 Year 3 Fitting Type Burning Hours BC 9,787,481 5,207,581 2,457,950 2,121,950 14/15 Warm white ES 2,446,870 1,301,895 614,487 530,487 Warm BC 9,787,481 5,207,581 2,457,950 2,121,950 18/20 white ES 115mm 2,446,870 1,301,895 614,487 530,487 Warm BC 9,787,481 5,207,581 2,457,950 2,121,950 8000, white ES 10000 As per the 2,446,870 1,301,895 614,487 530,487 BC and 125mm latest ELI 3,262,493 1,735,860 819,316 707,317 22/24 Cool White ES 15000 3U [150mm]* Specification 815,623 433,965 204,829 176,829 BC: Bayonet cap, ES: Edison Screw TOTAL 40,781,168 21,698,254 10,241,458 8,841,458 9

4.4. Roll out plan It is envisaged that to as far as possible, SAPP utilities will employ their local contractors to do the roll-outs. It is also expected that utilities who have experience with the roll-outs (including contractors management, communication and awareness plans, etc) will assist other utilities. Where applicable, it might also be a good idea for utilities to consider engaging with other government departments to train and deploy youth during their Youth Service obligations, this might save costs. In some countries, the revenue halls are already being utilised as exchange platforms. Some experience in the region is that utilities have contracted installers to install CFLs. This is offers temporary employment opportunities, thus aiding in lowering unemployment. Whatever the mode of implementation, utilities must insist on receiving the corresponding number of incandescent lamps for the same number of CFLs installed, i.e., a retrofit program. 4.5. Measurement and Verification In order to reliably quantify the savings it is important that proper measurements and verification exercises be carried out. Utilities must install energy meters at the feeders / substations in the areas of planned roll-out; the meters will capture the demand pre- and post- the roll-out. In this way, a verifiable baseline would have been developed. Also, important is that auditors be employed to independently verify quantities of installed CFLs against the returned incandescent lamps. 4.6. Communication Communication on the program roll out will be vital to both capture consumers attention and to educate them on the benefits of CFLs. Print and electronic media can be used effectively to announce the areas where the installation teams will be working on. Celebrities or people in high social standing can also be requested / contracted to lead the public exchange platforms, such as shopping malls where demonstration kits can be displayed showing CFLs burning alongside incandescent lamps. 10

5. Sustainability Strategy A 8000 hour CFL will under ideal conditions (lighting for about 2 to 5 hours/days) last for 4 to 10 years, after which consumers might revert back to the old lighting systems. In order to ensure sustainability of the savings gained from the CFL program, a number of interventions must be in place. Some suggestions are outlined below; each utility will consider what works best for them. 5.1. Retail programs With this program, utilities partner with retailers to buy the CFL price down to ensure that consumers can buy CFL at discounted prices. Other forms might include tax incentives to the retailers to reduce the incandescent lamps stocking patterns in favour of CFLs Zambia already has these incentives in place. This ensures that when CFLs fail, consumers are encouraged to continue purchasing the CFLs. These same platforms could also be used to exchange incandescent lamps for CFLs. 5.2. Legislation Some governments have already drafted legislations and policies to ban or limit importation and local manufacturing of incandescent lamps. These are typically phased, starting by banning 100 W incandescent lamps immediately, then outlining plans to ban 75 W a few years from now and the 60 W a few years later, followed by 40 W bulbs. These must be done inline with local regulatory bodies that will be able to monitor and safe guard against abuse. 5.3. Technical Solution For countries that are doing electrification programs and are handing out free light bulbs for each connection, it would be ideal to make sure that CFLs are distributed and that the lamp holder is a modified one that will include a current limiter to ensure that only small current drawing lamps (CFLs) will work, and that incandescent bulbs do not work. This is not preferred for retrofits as it will invasive and the existing lamp holders might be old and might crumble, thus setting increasing the costs. 11

6. Environmental Strategy CFLs contain small amounts of mercury which is a toxic metal, typically mercury content of 5 mg or less is acceptable, mostly populated by the European Union Directive. If CFLs are not properly disposed off, the combined large amounts of mercury might contaminate the ground water table; should this contaminated water migrate to the river streams, the fish will ingest it and might end up being consumed by humans. The World health Organisation (WHO) estimates that one needs to inhale all the mercury from about 15 CFLs for the mercury levels to breach acceptable limits in the body 1. By no means will one person sniff out this quantity of mercury from CFLs. By comparison, coal-fired power plants are the largest man-made source because mercury that naturally exists in coal is released into the air when coal is burned to make electricity, with the US reporting about 40% of the mercury emissions coming from coal-fired power stations. SAPP utilities are to advice their end-users on the proper handling of broken CFLs. It is important that utilities communicate that when the CFL is not broken, the mercury is not released and that only when the CFL is broken or during crushing will the mercury escape to the atmosphere. Suppliers continually reduce the mercury amount, as some spiral CFLs are reported to have less than 3 mg. Clearly, regulators and governments have a role to play by setting more stringent requirements for suppliers to meet. 6.1. Handling of Broken CFLs With regards to the handling of broken CFLs, the following messages can be sent to consumers: Open a window and leave the room for 15 or more minutes Use a wet rag to clean the broken pieces up and put all the pieces and the rag into a plastic bag 1 http://www.who.int/phe/news/mercury-flyer.pdf that less than 2 microgram per kg weight per day are tolerable. For a 60 kg person this is about 44 mg (44000 microgram) elementary mercury per year (365 days/year) or the average mercury content of 9 15 CFLs completely inhaled! 12

Place all material in a second sealed plastic bag and send it to the designated collection point or modern municipal landfill as hazardous waste Should not be sent to an incinerator, which would disperse the mercury into the atmosphere Spent CFLs should be collected be sent to facilities capable of treating, recovering or recycling them 6.2. Clean Up Steps of Hard Surfaces Carefully scoop up glass fragments and powder using stiff paper or cardboard and place them in a glass jar with metal lid (such as canning jar) or in sealed plastic bag Use sticky tape, such as duct tape, to pick up any remaining small glass fragments and powder Wipe the area clean by damp paper towels or disposable wet wipes and place them in a plastic bag. Do not use a vacuum or broom to clean up broken bulb on hard surfaces 6.3. Clean Up Steps for Carpeting or Rug Use sticky tape, such as duct tape to pick up glass fragments and powder Carefully pick up glass fragments and place them in a sealed plastic bag If vacuuming is needed after all visible materials are removed, vacuum the area where the bulb is broken Remove the vacuum bag and put the bag or vacuum debris in a sealed plastic bag 13

6.4. Clean-up steps for Clothing, Bedding etc If clothing or bedding materials come in direct contact with broken glass or mercury-containing powder from inside the bulb that may stick to the fabric, the clothing or bedding should be discarded Do not wash such clothing or bedding because mercury fragments in the clothing may contaminate the machine or pollute the sewage; even hand washing is not recommended as there could still be small pieces of glass stuck on the garments The SAPP utilities shall, in conjunction with their respective government environmental departments adopt a strategy to receive and dispose of failed, spent or broken CFLs in an environmentally friendly manner. It would be best to separate the waste at the source, i.e., at the households where the waste is generated. However, in the Southern Africa, such infrastructure might not exist yet. Some suggestions could include having differentiated waste bins at public areas such as shopping malls, revenue collection halls and the retailed that could be participating in the retail programs. At the frequency depending on the business of the areas where the bins are located, a special waste pick up truck shall carry these specially marked bins to a central location. The collected CFLs are to be stored in a well ventilated store room without air circulation to the offices or habitable areas. 7. Expected Benefits The following are expected from the project: 1. A MW contribution of 1800 MW in the next three years 2. Relief stress on the aging generation plants 3. Regional capacity building on issues around CFLs 4. Socio economic benefits as temporary employment is created 5. In countries where electricity is largely produced from burning fossil fuels, the corresponding energy savings result in reductions of coal burnt, greenhouse gas emissions, particulates and water saving; in other countries the reduction may help reduce negative impacts from radioactive waste, hydroelectric plants, or other plants, or other sources. 14

Appendix A: Proposed Project Timeline Activity Responsible Feb-09 Mar-09 Apr-09 May-09 Jun-09 Jul-09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Jan-2010 Feb 2010 March 2010 April 2010 Final Business Plan Chairperson Feedback from DBSA Chairperson Solicit Funding CC Issue Requests for Quotations CC Receive Proposals and Evaluate Sub-com. Present and Recommend to DSM WG Sub-com. Place Orders CC Installations SAPP 15

Appendix B: Scoring Criteria Specification Benchmarks Company 1 Company 2 Company 3 Company 4 IFC/GEF Efficient Lighting Initiative Voluntary Technical Specification Compact Fluorescent Lamps, March, 2006 YES CISPR 15: 2007 Limits and methods of measurement of radio disturbance characteristics of electrical motor-operated and thermal appliances for household and similar purposes, electrical tools and electric apparatus YES IEC 61000-3-2, 2006: Electromagnetic Compatibility (EMC), Limits for harmonic current emissions (current 16A). YES IEC 61000-3-3, 2006: Limits of voltage fluctuations and flicker in low-voltage supply systems for equipment with rated current 16A YES Restriction of Hazardous Substances Directive (RoHS) 2002/95/EC, July, 1, 2006, Applications of lead, mercury, cadmium and hexavalent chromium, which are exempted from the requirements of Article 4(1) Wattage Category and Colour Appearance Lamp Power XX W Lumens [lm] Tecehnical Specs YES [depending on the W rating] Efficacy [lm/w] >=57 Length [mm] 130 [125] Hours 8000-15000 Other Mercury [mg] <= 5 Power factor ELI min. >= 0.5 Best alt. >= 0.93 Diameter [mm] 62 16

Appendix C: Utility CFL Requirements NUMBER OF COMPACT FLORESCENT LAMPS REQUIRED No Country Utility Year 1 Year 2 Year 3 Total 1 Angola ENE 356,796 200,000 200,000 756,796 2 Botswana BPC 500,000 500,000 1,000,000 3 DRC SNEL 5,000,000 3,000,000 2,000,000 10,000,000 4 Lesotho LEC 400,000 400,000 5 Malawi ESCOM 500,000 400,000 900,000 6 Mozambique EDM 1,141,458 1,141,458 1,141,458 3,424,374 7 Namibia NamPower 500,000 200,000 200,000 900,000 8 South Africa Eskom 8,000,000 1,000,000 1,000,000 10,000,000 9 Swaziland SEC 500,000 500,000 500,000 1,500,000 10 Tanzania TANESCO 300,000 300,000 300,000 900,000 11 Zambia ZESCO 1,000,000 1,000,000 1,000,000 3,000,000 12 Zimbabwe ZESA 3,500,000 2,000,000 2,500,000 8,000,000 TOTAL 21,698,254 10,241,458 8,841,458 40,781,170 17