Green energy transition for sustainable agriculture

Smallholder farmers in Botswana received grants from National Development Bank and IKI Small Grants to transition to greener farming practices.
  • Country: Botswana
  • Organisation: National Development Bank of Botswana (NDB)
  • Support area: Adaptation to the consequences of climate change, Mitigation of greenhouse gas emissions
  • Objective: Initiate a funding scheme for small and medium sized off-grid farmers and horticultural producers
  • IKI funding: 850,000 euros
  • Project start: 01/10/2022
  • Project end: 31/05/2025
  • Website: www.ndb.bw

Most of Botswana’s farms are situated in off-grid areas. The use of renewable energy in these areas is limited as the upfront cost of the renewable energy equipment is high. Diesel generators are most common for farming enterprises, but they have a negative impact on the cost of production as well as the environment and public health. Also, Botswana’s climate is arid to semi-arid with highly erratic rainfall. Extreme weather events such as drought, storms and floods have been more persistent. The National Development Bank (NDB) of Botswana initiated a funding program for small and medium-sized farmers to mitigate greenhouse gas emissions and adapt to the consequences of climate change through renewable energy solutions such as solar power and water efficient irrigation practices. Also, controlled farming environments improved water and energy efficiency, for example through shade netting. A preference was given to women and youth led enterprises.

GALLERY

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A woman wearing a sun protective hat and a bandana scarf is standing in a field in Botswana, touching an apple on an apple tree.
Local farmer Ipeleng Ramatlhakwane managed to transition her farm to use greener farming techniques. © NDB
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A woman and a man are standing on a farm in Botswana, observing green plants growing under a shade net.
Local farmer Ipeleng Ramatlhakwane worked closely with National Development Bank to introduce climate-friendly farming methods. © NDB
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Various individuals, both men and women in formal business attire, are standing in a field in Botswana, examining a solar panel.
National Development Bank in Botswana works with smallholder farmes to introduce climate-friendly solar power. © NDB
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Farmer Alan P. Boshwaen, a bald man wearing a khaki shirt and blue jeans, is sitting on a small bench along a path through his farm, which is covered by a shade net.
Alan P. Boshwaen is one of 59 farmers benefiting from IKI Small Grants funding through National Development Bank. © NDB
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In an indoor farm in Botswana, an innovative watering system demonstrates how smallholder farming enterprises are implementing new farming solutions.
Through funding from IKI Small Grants smallholder farming enterprises were able to introduce innovative farming solutions. © NDB
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An aerial photograph captures solar panels on a farm in Botswana, viewed from above.
By installing solar power for pumping water, farms can reduce their carbon footprint. © NDB
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An aerial view shows a farm in Botswana with fields covered by shade nets.
Shade nets help improve water and energy efficiency. © NDB

CAPACITY DEVELOPMENT

IKI Small Grants supports NDB in their organisational capacity development through:

  • Closing identified gaps, such as implementing necessary environmental and social frameworks that meet Green Climate Fund standards (e.g. gender policy) to enable access to global climate finance.
  • Supporting the Bank in measuring the climate impact of the projects financed
  • Development of an assessment scheme for the current project based on the overall environmental impact

Ketumile Direng is responsible for mobilising resources and project management at Botswana’s National Development Bank. © NDB

 

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ABOUT THE ORGANISATION

IPFG

The National Development Bank (NDB) was established under an act of parliament in 1963. The Bank is owned by the Government of Botswana and operates under the control of a Board of Directors appointed by the Minister of Finance and Development Planning. As a Development Financial Institution, NDB is viable and self-sustaining and continues to contribute immensely to the growth of the local economy. Its mission is to provide sustainable, innovative financial products and services for the development of the entire agricultural value chain through partnerships.