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Center for Science and Technology Development Studies (PAPPIPTEK) INDONESIAN INSTITUTE OF SCIENCES (LIPI) RURAL Center for Science and Technology Development Studies (PAPPIPTEK) INDONESIAN INSTITUTE OF SCIENCES (LIPI) RURAL RESEARCH & PLANNING GROUP (RRPG) 5 th International Conference and Field Study in Malaysia 2014 Institute for Rural Advancement (IFRA), Bangi, Malaysia, August 26 -28, 2014 Can Household-Scale Biogas Support Rural Development? Insight from the Study in Cibodas Village Galuh Syahbana Indraprahasta | [email protected] com Purnama Alamsyah | purnama. [email protected] com

Introduction • • Rural Research & Planning Program (RRPG) 2014 Energy source : critical Introduction • • Rural Research & Planning Program (RRPG) 2014 Energy source : critical role in rural livelihood, both for social and economic activities • Availability of modern energy services, in rural area of the developing countries are still limited The key : improvement of access to more affordable and clean energy sources. • Biomass is seen as a promising type to be further developed (abundant amount) Biogas has been developed in rural Indonesia since 4 decades ago. Various actors ranging from governments, private sectors and NGOs have tried to implement biogas through various projects • Serious attention to biogas development has been given just since 1 decade ago • Oil bonanza (1960 s – 1980 s) oil importer 2004 (resigned from OPEC’s member 2008) Biogas technology for household is not a sophisticated technology, but its potential to be successfully and appropriately implemented demands more complexity • Suitable for rural and remote areas where the energy infrastructure is still weak 2

Introduction • • Rural Research & Planning Program (RRPG) 2014 Past researches : mostly Introduction • • Rural Research & Planning Program (RRPG) 2014 Past researches : mostly focus on energy transition and sustainability issues. • Very limited : to relate biogas (and biomass as well) with rural development Rural development • Revitalizing & strengthening the rural and aims to reposition the rural within wider society (e. g. urban areas, national interests, etc. ) • Based on natural resources : agricultural activities, clean environment, protection of cultural heritage, scenic amenities Rural development approach • Value of self-reliant to reframe rural development in developing countries • Sector policy territory Biogas policy • Energy (sector) policy rural development approach • Case study : Cibodas Village (desa) in West Bandung District (Kabupaten Bandung Barat) • Project : Indonesia Domestic Biogas Programme (IDBP) or better known as BIRU (Biogas Rumah). 3

Introduction Rural Research & Planning Program (RRPG) 2014 4 Introduction Rural Research & Planning Program (RRPG) 2014 4

Methodology Rural Research & Planning Program (RRPG) 2014 5 Study Area • Cibodas Village Methodology Rural Research & Planning Program (RRPG) 2014 5 Study Area • Cibodas Village is located under the administration of Lembang Sub-District (kecamatan). • Largest land use is agriculture (433. 72 ha), plantation (351 ha), and settlement (111. 5 ha). • 10, 112 inhabitants or 3, 056 households, 66% of those are farmer’s households. • The main source of income : horticulture farmers. • All of the households have electricity access, 89% of them are provided by the National Electricity Company (PLN) CIBODAS

Methodology Rural Research & Planning Program (RRPG) 2014 Analytical Framework • Built upon the Methodology Rural Research & Planning Program (RRPG) 2014 Analytical Framework • Built upon the concept of self-reliant rural development • Endogenous potentials as basis for its development, without relying much on urban area • Does not necessarily mean rural area should be self-sufficient • Exogenous factors are considered existed and should be managed to strengthen endogenous factors and support rural development as whole. • Internal resource flow : interlinked within endogenous resources Data Collection and Analysis • • Conducted participant observation approach, the researcher is directly involved as active agents and sources of information, participate actively participating in learning process directly, or be passive recipients of information. Direct involvement of the researcher has been conducted since 2010. 6

Rural Research & Planning Program (RRPG) 2014 Result 7 Policy Background No Time Description Rural Research & Planning Program (RRPG) 2014 Result 7 Policy Background No Time Description 1 1981 With the support of FAO, Ministry of Agriculture started the construction of fixed dome type of biogas digesters in several provinces including West Java 2 1991 The Presidential Decree (Keppres) 43/1991 on Energy Conservation was the first policy giving more attention to renewable energy source, including biomass 3 2006 -2010 Energy Village Program (DME) at district/city level 4 2006 -2010 BATAMAS program (Biogas Originally Livestock via Community Collaboration) and Rural Bio-Energy Program (BEP) which were initiated by the Ministry of Agriculture 5 2008 -2013 West Java Common Goals Development Plan 2008 -2013 or Local Regulation of West Java Energy Master Plan 2008 -2013 6 2009 - Now Indonesian Domestic Biogas Programme (IDBP) 7 2012 West Java Regional Action Plan on Mitigation of Green House Gases (West Java Governor Decree 56/2012)

Result Rural Research & Planning Program (RRPG) 2014 IDBP and the Development Process in Result Rural Research & Planning Program (RRPG) 2014 IDBP and the Development Process in Cibodas Village • • • In 2009, Indonesia Domestic Biogas Programme (IDBP) or better known as BIRU (Biogas Rumah) is entering Indonesia, including West Java Funded by the Royal Netherlands Embassy and it is supported fully by the Directorate General of Renewable Energy and Energy Conservation of the Ministry of Energy and Mineral Resources of the Republic of Indonesia IDBP/BIRU program offers a system of credit financing for milk cow breeders wanting to build biogas reactor. In addition to credit, IDBP/BIRU also offers subsidy program of IDR 2 million to all types of biogas reactor (4 m 3, 6 m 3, 8 m 3 and 12 m 3) construction The credit payment is conducted by cutting off the payment of milk to the cooperative (KPBSU). In IDBP/BIRU program, KPSBU functioned as credit channel for farmers in Lembang and it is facilitated by HIVOS to access credit from Rabobank with low interest rates. Rabo Foundation has signed credit assistance for KPSBU-Lembang through Rabobank with amount up to IDR 4. 5 billion for the construction of 1, 000 units of IDBP/BIRU digesters, which has ran since August 2010 in Lembang. In the end of 2010 : initiative to re-process of bio-slurry (residual of biogas) to be used as organic fertilizer and pesticide 8

Result Rural Research & Planning Program (RRPG) 2014 IDBP and the Development Process in Result Rural Research & Planning Program (RRPG) 2014 IDBP and the Development Process in Cibodas Village • • • One of the groups having utilized bio-slurry (residual produced through biogas process) as organic fertilizer and pesticide is farmers in Kampung Areng, Cibodas Village. • re-processed bio-slurry into organic fertilizer and pesticide. The products are used for own farming as well as are sold to others. • The success story of this product disseminated to their neighbors and some of them interested to try The re-processing of bio-slurry in Kampung Areng was reinforced by IDBP/BIRU by adding the re-processing as assistantship program of biogas digester application. IDBP/BIRU conducted socialization program to implement that method. This socialization was not only done in Cibodas Village, but also in other areas where IDBP/BIRU biogas digester program is being implemented. The development of bio-slurry products does not stop at the production methods, but continues to develop by building production house. 9

Discussion Rural Research & Planning Program (RRPG) 2014 10 Biogas and Its Relation to Discussion Rural Research & Planning Program (RRPG) 2014 10 Biogas and Its Relation to Rural Development Aspect Biogas Infrastructure • Alternative access of energy for cooking and lighting (alternative of State Electricity Company / PLN) Economy • Reducing cost of buying energy (LPG) for cooking • Reducing cost of paying for electricity (lighting) Environment • Preventing of releasing of GHG emission to the atmosphere • Preventing of cow manure disposal into drain (which later flows into the river) / river pollution • Preventing illegal logging (wood for cooking) Bio-slurry • Alternative access of farming inputs, particularly fertilizer and pesticide (replacing chemical inputs) • Reducing cost of buying farming (chemical) inputs • Creating additional income (by selling fertilizer) • Preventing of disposal of biogas waste into drain (which later flows into the river) / river pollution • Increasing quality of soil and preventing eutrophication of water

Discussion Rural Research & Planning Program (RRPG) 2014 11 Discussion Rural Research & Planning Program (RRPG) 2014 11

Discussion Rural Research & Planning Program (RRPG) 2014 12 Institution and Entrepreneurship as Driver Discussion Rural Research & Planning Program (RRPG) 2014 12 Institution and Entrepreneurship as Driver of Change • The resources do not work alone : are influenced by less tangible resources = institution & entrepreneurship • Institution has played a basic role on how biogas development has given multi-aspect benefits to rural development. • Institution : rule of game • SNV-HIVOS has created the rule of game as the key of success to link natural and human-cultural resources in biogas development through IDBP/BIRU • Socio-technical co-development • Internalization of IDBP/BIRU biogas development as an non outsider’s program: • Construction of biogas digester is done not as free grant (moral hazard) • Quality guarantee by providing 2 -3 years warranty and ensuring the durability of digester up to 20 -30 years (building trust) • Training people to receive minimum standard (farmers and SNV-HIVOS’ partners) • Interconnecting related actors to work together (KPBSU, local leader) (building trust)

Discussion Rural Research & Planning Program (RRPG) 2014 13 Institution and Entrepreneurship as Driver Discussion Rural Research & Planning Program (RRPG) 2014 13 Institution and Entrepreneurship as Driver of Change • In contrast to institution which has been built upon the mixture of exogenous and endogenous factors, entrepreneurship in developing bio-slurry is purely derived from endogenous actor. • The entrepreneur is a woman living in Kampung Areng (a part of Cibodas Village) and also working as a farmer • End of 2010 : initiated re-process bio-slurry through vermi composting • Built a simple composting house with her own design. • a housewives’ group called as Kelompok Karya Ibu or Mother’s Work Group in 2013 • This entrepreneurship has brought SNV-HIVOS to make the success story of bio-slurry development in Kampung Areng as national role model

Conclusion Rural Research & Planning Program (RRPG) 2014 14 • This study shows that Conclusion Rural Research & Planning Program (RRPG) 2014 14 • This study shows that the development of biogas and its externality (bio-slurry) has generated rural development and created lesser dependence to external resources. • Biogas and its bio-slurry, to certain extent, have effectively addressed several issues of rural development in Cibodas Village, mostly under the infrastructure, economy, and environment aspects. • Institution and entrepreneurship have played critical role to link natural and humancultural resources and have acted as the driver of change.

Thank You. Thank You.