The Inter-American Development Bank announced today the approval of a $898,950 grant to support a Brazilian program that promotes decentralized energy services based on renewable sources in isolated communities.
The resources from the Japan Special Fund, which is administered by the IDB, will help the Brazilian government improve the management and the effectiveness of its program, known as PRODEEM,* for developing renewable energy services in rural municipalities.
The project will create a framework designed to attract investment to renewable energy systems and renewable energy-based services that can improve the quality of life and raise productivity in isolated populations that lack access to modern and clean sources of energy.
Under the program, PRODEEM would step up the transfer of project execution to decentralized market agents and the private sector. It would also provide training to the agents and assist small and medium size enterprises in using renewable energy to boost their productive capacity.
The project also seeks to reduce deforestation due to the use of wood and charcoal as energy sources, as well as to decrease emissions from poorly maintained diesel generators.