Stakeholder and Project Partners Meeting

On  23rd November 2021, KAKUTE Projects and SELCO Foundation from India convened  a meeting  of  partners and stakeholders at  the  African Dreams Hotel in Dodoma to discuss  the  implementation  of  the  Decentralized Renewable Energy (DRE) project that is Developing Grassroots Energy Innovations for Productive Use and Well-Being in Rural Tanzania that funded by DOEN Foundation from Netherlands and implemented by KAKUTE Projects in partnership with SELCO foundation, SAGCOT and Local Government Authority (LGA). The main objective is to improve rural livelihoods, which can be divided into agricultural and non-agricultural sub-sectors, which has been implemented in three phases namely Scoping & Identification, Ground Intervention & Forge Partnership and Documentation & Dissemination.

The meeting was attended by various people from different sectors such as Entrepreneurs (beneficiaries of the project), Solar technology solution suppliers/ technicians, Egg Incubator Fabricator, Financial institutions, Government institutions, journalists and Other project partners. The purpose of this meeting was to bring together the stakeholders and provide them with feedback on project implementation for two years of pilot, as well as to identify the achievements and challenges encountered during implementation and to agree on strategies to address them.

The meeting presentations  and discussions were  structured  around  four sessions which include

  1. Emerging Business Models for DRE – Livelihood Solutions in Dodoma

  2. Challenges and learnings from the enterprise side: Discussion on the key learnings and way forward from the supply side (energy enterprise and the technology providers.

  3. Role and potential of local government in complementing DRE – Livelihoods: Inputs and potential way forward on leveraging the support from Community Development Officers (CDOs)

  4. Unlocking financing for DRE solutions: Barriers, possibilities, potential solutions to complement livelihood programs in Tanzania (Dodoma and beyond)

Decentralized energy services remain at the forefront in the fight against poverty. Small and Medium Enterprises (SME) are driving this effort to provide an alternative to Government owned utilities and other large energy providers in rural poor  community in Tanzania. SMEs allow entrepreneurs to provide alternative energy supply in remote and rural areas while also providing jobs, lowering energy costs, and reducing carbon and other greenhouse gas emissions.

KAKUTE Projects makes renewable energy available for productive use in rural area where there is no connection to grid. Our integration is through technology innovators  living in rural areas in Tanzania who share our vision by looking at the obstacles facing the end user. The solutions that involve financial (micro-loans), technical (a customized product) and social (training). We always aim at paving the way to clean, reliable energy for as many people as possible.

We have been able to install 16 technical solution to rural innovators living in Dodoma (Dodoma City district), Iringa (Iringa rural District) and Morogoro (Kilombero district). People access to renewable energy for productive use in Agricultural value chain, poultry value chain and livestock vaccination, water and sanitation, and Livelihood solutions.

These interventions focus on decentralized energy innovations and can improve livelihoods, and also develop implementation models that address both demand and supply-side challenges and result in equitable economic growth and reduce the impact of poverty in rural areas.

The biggest challenge for solar technology is that many people still do not know whether solar power can be used for production. Solar power equipment is expensive and requires a lot of capital so some people need it but they can’t afford it. Although Tanzania is trying to develop the renewable energy, there are challenges that disrupt the efforts that are initiated by the government and other renewable energy stakeholders in Tanzania and one of them is financing. The high initial investment cost and higher interest rate on loan and requirement for collateral as one among the critical challenges facing renewable energy development in most developing countries including Tanzania. Initial investment is a unique and essential tool for any project development as it enhances investor’s confidence and reduces the financial gap. There are few or no incentives for local manufacturing or importation of renewable energy equipment such as solar devices.


DRE Private-sector  enterprises  play  a  critical  role  in  delivering  energy  services. End user innovators and technology supplier lack  of  access  to  financing  requires  banks  to  be  flexible  in  their  investigations and  to  become  familiar  with  specific  issues  facing  this  sector.  There  is  a  need for  the  public  sector  to  invest  in  infrastructure  that  supports  scale-up  activities.

The  impact  of  programs  on Agri and non-Agricultural  technology innovation-specific  issues  and  the  environment  is important  to  consider  in  rural  area  DRE programs. Further,  many  issues  facing  the  end user and private  supplier are  not  energy  specific,  but  applicable  to  all  entrepreneurs  in  the supply chain in the sector. The  workshop  presentations  and  discussions  stress  the  need  for  public  and private  sectors  to  take  a  nontraditional  approach  to  public-private  partnerships to  support  DRE technology  employed  in  rural  areas  of  poor community in the off grid.  Deployment  of  this  technology  faces  many  challenges, including  poor  quality  equipment,  weak  or  unpredictable  demand, the  absence of  quality  control  standards,  and  the  lack  of  a  viable  manufacturing  and commercial supply of energy efficient technologies and services. Nevertheless, the solutions and demonstration on the ground interventions are demonstrating  that  such  an  industry  could  be  fully  commercialized in the long run.  It  is  possible  for  public-private  partnerships  to  stimulate  growth, improve  efficiency, and make better  use  of  subsidy  funds. DRE is  not  just  about  providing  electricity and technology;  affordable  maintenance systems  are  needed.  Also,  standards  are  needed  to  ensure  technology  is  employed  properly  and  equipment  is  installed  properly.


  • A lot of people have an insufficient understanding of these technologies. Most of the issues in renewable energy development and technologies such as knowledge of its establishment, application, and socioeconomic and environmental importance are still unknown to the public.

  • Match the technology/equipment with  local  needs  and  ensure  adequate  infrastructure  to  support  investment  and

  • Characterize the  DRE Technology solutions  as  end user entrepreneurial  at its    People  in  this  sector  are  not  just  focused  on  technology;  they  are developing  innovative  business  models.

  • Access to  energy  should  drive  economic  development  and  consumers should  be  encouraged  to  be

  • Consider alternative ways  of  performing  investigations  on  entrepreneurs  with  little  or  no history  of  financial statements, especially  in  the project area


  • Decentralize  production  to  keep  distribution  costs  low and build production  facilities  close  to  markets  to  prevent  loss  of  product  during  transport.

  • Negotiate  with  micro-finance  institutions  to  provide  lower  interest  loans. Target end user and supplier of technology solutions, since the case study  shows that end user have  been more responsible  borrowers  than  supplier, paying  loans  back  on  time.

  • Keep production  costs  low  to  assure,  at  the  bare  minimum, the  same  benefits  and  profits  seen  in  the  production  of  DRE solution on the ground.

  • Evaluate the ground intervention impact to community for sustainability, including  agricultural and nonagricultural solution, as  a  possible  way  to  reduce  triagery high  labor  costs  and  make  facilities  economically  viable.

  • Provide quality  control  training to end user on the use of technology and business development services.

  • Support  technology producers with  training  in  basic  skills  and  best  practices  in accounting,  raw  materials  procurement,  inventory  control,  and  marketing and  promotion.